Apple to halt iWatch import & sales in US over patent dispute: All you need to know

The blood-oxygen feature monitors a person’s levels throughout the day. A user also can get a current reading

Apple filed an appeal on December 26 of a decision to ban imports of Apple Watches based on a complaint from medical monitoring technology company Masimo after US President Joe Biden's administration declined to veto a government tribunal.

The US International Trade Commission's (ITC) order will go into effect on December 26, barring imports and sales of Apple Watches that use patent-infringing technology for reading blood-oxygen levels. Apple has included the pulse oximeter feature in its smart watches starting with its Series 6 model in 2020.

A patent dispute seems to have upset the Applecart with the tech giant deciding to halt the sale of its Series 9 and Ultra 2 smartwatches in the US this week as it battles a patent dispute with Masimo Corp over the technology that enables the blood oxygen feature on the wearable device.

Here's all that you need to know about the ban...

What happened?

On October 26, the US International Trade Commission (ITC) upheld a January 2023 ruling that Apple had violated Masimo's rights in light-based technology for reading blood-oxygen levels.

President Joe Biden's administration has 60 days (till Christmas 2023) to decide whether to veto the import ban based on policy concerns before it goes into effect. Presidents have rarely vetoed bans in the past.

Apple can appeal the ban to the US Court of Appeals for the Federal Circuit after the review period ends.

What is the technology?

The feature monitors the level of oxygen present in the blood throughout the day. A user can read on a real-time basis. This was first added to the Apple Watch in 2020 in the Series 6 model. The feature became a roaring success with blood-oxygen levels suddenly becoming the most significant monitorable for people in the time of the raging Covid pandemic.

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What is Apple doing?

Apple is making a high-stakes engineering effort as the company is trying to change the algorithms on the device that measure a user’s blood oxygen level. They’re adjusting how the technology determines oxygen saturation and presents the data to customers, as per a report by Reuters.

Though the iPhone maker’s products have previously been barred in certain countries over legal disputes, this restriction would hit one of Apple’s biggest moneymakers in its home country.

The ban imposed by ITC will take effect on December 25 unless vetoed by the White House.

Options with Apple

A settlement route between the two companies could be taken, but for now, Apple is focused on modifying its technology and trying to win favour with regulators.

It has already begun preparing stores for the change. It sent new signs to its retail outlets that promote the Apple Watch without showing photos of the Series 9 and Ultra 2 — two models targeted by the ban.

What is Masimo's stance?

Masimo has said that a software fix will be an insufficient remedy. “The hardware needs to change,” the maker of medical devices said. Masimo also further in a statement said that the ITC’s judgment “should be respected”. The ban “demonstrates that even the world’s most powerful company must abide by the law”, it said.

How can Apple avert the ban?

The White House has the power to veto ITC decisions. The Obama administration, in 2013 vetoed the ban on the iPhone. However in that case, it was a patent fight with South Korea's Samsung Electronics. In this case, Masimo is based in Irvine, California, which means the government would have to pick one US company over another.

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(With inputs from agencies)