Apple Wins Temporary Reprieve as Appeals Court Halts Apple Watch Ban Amid Patent Dispute

In a recent turn of events, a federal appeals court has granted Apple a temporary pause on the ban imposed by the U.S. International Trade Commission (ITC) on the latest versions of the Apple Watch. The decision allows Apple to resume sales of the affected smartwatches, including the Apple Watch Series 9 and Apple Watch Ultra 2, featuring the contentious blood oxygen monitoring technology.

“We are thrilled to return the full Apple Watch lineup to customers in time for the new year,” Apple stated in response to the court’s decision. The watches are set to return to select Apple Stores immediately, with broader availability expected by December 30.

This development follows the ITC’s ruling that the blood oxygen sensor in Apple’s smartwatches infringes on patents held by Masimo, a California-based company. Masimo has accused Apple of poaching its key employees and replicating its pulse oximetry technology within the Apple Watch, a claim vehemently denied by Apple. The ITC had ordered a ban on the sale and import of the affected Apple Watches.

Apple swiftly took action, filing an emergency request with the U.S. Court of Appeals for the Federal Circuit to halt the ban. The appeals court, in a four-paragraph ruling, decided to temporarily lift the ban while it considers Apple’s motion for a longer-term pause during the appeals process. The ITC has until January 10 to respond to Apple’s request.

Despite the Biden administration declining to veto the ITC ruling, Apple is exploring various legal and technical options. The company informed the court that the U.S. Customs and Border Protection is evaluating redesigned versions of the Apple Watches to determine if they infringe on Masimo’s patents. A decision by the customs agency is expected by January 12.

This legal battle, centered around patent infringement and alleged employee poaching, has broader implications for both companies. While the financial stakes are significant, the negative publicity surrounding the dispute may pose challenges for Apple in the public eye. Apple’s wearables, home, and accessory business, including the Apple Watch, generated $8.28 billion in revenue during the third quarter of 2023, according to the company’s report. The ongoing legal proceedings will likely shape the future of health-wearable products for both Apple and its competitors.

Editors’ Note: This story will be updated as new developments arise.