Apple wins bid to temporarily halt ban on Apple Watch in the US
(Reuters) – Apple won a victory on Wednesday when a U.S. appeals court suspended a government ban on imports of some of the company’s popular Apple smartwatches following a patent dispute with medical technology firm Masimo.
The tech giant had filed an urgent request with the US Court of Appeals for the Federal Circuit to stay the order after appealing a US International Trade Commission (ITC) ruling that it had infringed Masimo’s patents.
Apple and Masimo representatives did not immediately respond to requests for comment.
Masimo’s shares fell almost 5% after the decision, and Apple’s stock was almost unchanged.
In a four-point ruling, the appeals court said it would suspend the ban while it considers Apple’s motion for a longer-term stay during the appeals process. The court gave the ITC until January 10 to respond to Apple’s request.
US President Joe Biden’s administration on Tuesday refused to veto the ban, allowing the ban to take effect. Apple requested a suspension of the ban later that day.
Masimo has accused Apple of hiring employees, stealing its pulse oximeter technology and incorporating it into Apple Watches.
The ITC banned the import and sale of Apple Watches intended for reading blood oxygen levels. Apple has included a pulse oximeter feature in its smartwatches starting with its Series 6 model in 2020.
Apple has stopped selling its Series 9 and Ultra 2 smartwatches in the US, although the watches are still available at other retailers, including Amazon, Best Buy, Costco and Walmart.
The ban does not apply to the Apple Watch SE, a cheaper model without a pulse oximeter. The ban also does not affect previously sold watches.
A jury trial in California federal court regarding Masimo’s allegations against Apple ended in a mistrial in May. Apple has separately sued Masimo for patent infringement in Delaware federal court, calling Masimo’s legal action “a way to pave the way” for its own competing smartwatch.
Apple’s wearables, home and accessories business, which includes the Apple Watch, AirPods and other products, brought in $8.28 billion in revenue in the third quarter of 2023, according to the company’s report.