LI Network
Published on: October 28, 2023 at 11:57 IST
The U.S. International Trade Commission (ITC) has taken a significant step in the ongoing legal battle between Apple and medical technology company Masimo.
In a recent development, the ITC issued an order that has the potential to ban the import of Apple Watches due to patent infringement claims by Masimo.
The ITC’s decision, which upholds a judge’s ruling from January, asserts that Apple’s devices violate Masimo’s patent rights, specifically related to light-based technology for reading blood-oxygen levels. While this ruling doesn’t have an immediate impact, as it is subject to presidential review and potential appeals, it marks a crucial phase in the dispute.
The decision now enters a 60-day review period under President Joe Biden’s administration. During this time, the President can decide whether to veto the import ban based on policy concerns. Historically, presidential vetoes of such bans have been infrequent.
Following the review period, Apple has the option to appeal the ban to the U.S. Court of Appeals for the Federal Circuit.
Apple has strongly contested Masimo’s claims, with an Apple spokesperson stating that Masimo is using the ITC to obstruct a potentially life-saving product for U.S. consumers while promoting their own watch, which they allege copies Apple’s technology. Apple intends to continue its efforts to appeal the decision.
In response to the ITC’s ruling, Masimo’s Chief Executive Officer, Joe Kiani, emphasized the message it sends, asserting that even the world’s largest company is not exempt from the law.
Notably, the ITC’s decision doesn’t specify which models of Apple Watches would be affected by the potential ban. Masimo’s complaint in 2021 cited the 2020 Apple Watch Series 6, the first model with blood-oxygen monitoring capabilities, as infringing its patents.
The dispute between Apple and Masimo encompasses multiple jurisdictions, with Masimo accusing Apple of incorporating its technology into various Apple Watch models. A jury trial on these allegations in a California federal court ended in a mistrial in May.
Additionally, Apple has filed a separate lawsuit against Masimo for patent infringement in federal court in Delaware, characterizing Masimo’s legal actions as an attempt to pave the way for its competing smartwatch.
Apple is currently facing another import ban threat related to Apple Watch in a distinct patent dispute with medical technology company AliveCor. The ITC issued a ban in February but has placed it on hold pending proceedings to determine the validity of AliveCor’s patents.
The outcome of this ongoing legal battle holds significant implications, not only for Apple but for the broader wearables and medical technology industries.
Apple’s wearables, home, and accessory business, which includes the Apple Watch, contributed substantially to the company’s revenue, generating $8.28 billion in the third quarter of 2023.
The final resolution of these patent disputes will be closely watched by stakeholders in the tech and healthcare sectors.