A landmark decision was made by a United States federal trade agency on Thursday, ruling that Apple had infringed upon the patent of a rival technology business. This ruling may result in certain Apple wearable models being banned from importation. The legal battle began when medical technology company Masimo filed a complaint with the US International Trade Commission (ITC) in 2021, accusing Apple of violating its patents related to blood-oxygen level testing. Apple has been including a pulse oximeter sensor in its new Watch models since 2020.
Following the ITC investigation, it was determined that Apple had breached United States trading standards, resulting in a limited exclusion order being enacted. This order prohibits the importation of certain types of Apple watches into the US. The Biden Administration now has 60 days to decide whether to uphold or reject this ruling. If the administration chooses to decline, Apple is free to challenge the ruling. According to the Wall Street Journal, Apple has several options to prevent a potential Apple Watch ban, including reaching a civil settlement with Masimo or updating their software to no longer rely on Masimo’s disputed technology.
Masimo and Apple have been involved in a lengthy court dispute for the past three years, with allegations of staff poaching and technology theft. Masimo’s CEO, Joe Kiani, emphasized that even the largest company in the world is not above the law. In response, Apple claimed that Masimo had abused the ITC to hinder US consumers from purchasing their products while simultaneously releasing a watch that allegedly imitated Apple’s technology.
The intellectual property battle between Apple and Masimo spans various jurisdictions, including the ongoing case before the ITC. In May, a jury trial concerning Masimo’s claims of technology theft by Apple resulted in a mistrial. Additionally, Apple has filed a lawsuit against Masimo in Delaware federal court for patent infringement, accusing Masimo of using legal action to pave the way for its rival wristwatch.
In another patent battle, Apple and medical technology startup AliveCor are facing a potential import ban. While the ITC issued a ban in February, it is still pending due to ongoing legal actions regarding AliveCor’s patent validity.
According to company documents, Apple’s wearable tech, home devices, and other accessories generated over $8.28 billion in sales in the third quarter of 2023. Masimo is the latest in a growing list of companies accusing Apple of illicit tech theft, with Apple consistently denying these claims. Apple argues that many of the patents it is accused of violating are overly broad, similar to the legal issue it faced with AliveCor.
As Apple’s legal issues continue to mount, the company finds itself in a challenging position, seeking to protect its products from import bans while defending against accusations of patent infringement. The outcome of these legal battles will have significant implications for Apple and the wearable technology industry as a whole.
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