Apple Watch Ban: Business Wins Bid to Halt US Ban on Apple Watches

(Reuters) -In response to a patent battle with medical technology startup Masimo, a U.S. appeals court on Wednesday halted a government commission’s import restriction on certain of the business’s well-known Apple smartwatches. This was a win for Apple.

The computer giant had appealed the U.S. International Trade Commission’s (ITC) ruling that it had violated Masimo’s patents and had filed an emergency request with the U.S. Court of Appeals for the Federal Circuit to suspend the order.

Requests for response from Apple and Masimo representatives were not immediately answered.

Following the announcement, Apple shares were essentially unchanged while Masimo shares were down about 5%.

The appeals court said in a four-paragraph decision that it would suspend the ban while it reviewed Apple’s request for a longer-term holdoff while the appeals process was ongoing. The ITC was given until January 10th by the court to address Apple’s motion.

On Tuesday, the administration of US President Joe Biden decided not to veto the prohibition, enabling it to go into force. Later that day, Apple requested a suspension of the prohibition.

Masimo has charged Apple with stealing its pulse oximetry technology, hiring away its staff, and putting it into Apple Watches.

Sales and importation of Apple Watches equipped with blood-oxygen sensor technology were prohibited by the ITC. Apple began including a pulse oximeter function in its smartwatches with the 2020 release of the Series 6 model.

Although sales of Apple’s Series 9 and Ultra 2 smartwatches have been suspended in the United States, the devices are still accessible at other stores including Amazon, Best Buy, Costco, and Walmart.

In May, a jury trial concerning Masimo’s accusations against Apple in a federal court in California was declared a mistrial. Apple has filed a new lawsuit in federal court in Delaware against Masimo for patent infringement, referring to Masimo’s legal activities as a “maneuver to clear a path” for Apple’s rival smartwatch.

As to a corporate report, Apple’s wearables, home, and accessories division, which encompasses the Apple Watch, AirPods earphones, and other items, generated $8.28 billion in sales in the third quarter of 2023.