Apple Watch Ban Temporarily Lifted

Facts

• On Thursday, Apple resumed selling its latest Apple Watches — the Series 9 and Ultra 2 —after the US Court of Appeals for the Federal Circuit paused a ban imposed by the International Trade Commission (ITC) over an intellectual property dispute.¹
• The decision comes days after the Biden administration declined to overturn the ITC's ruling, which became final on Tuesday.²
• Apple immediately filed an appeal that same day, asking the court to block the ITC's order until US Customs reviews a redesigned version of the devices in question. The temporary stay allows Apple to sell its devices until Customs makes its decision, which is expected on Jan. 12.¹
• The ITC issued its ruling in October over allegations that the products' pulse reader feature infringes on the pulse-oximeter technology used by Masimo, a California-based medical monitoring technology company. The technology is used to monitor blood oxygen levels.³
• Apple pulled the devices from its website on Dec. 21 and from its shelves on Dec. 24. The ban only applied to Apple stores, so large retailers, such as Target and Best Buy, still sell the products in their supplies. Meanwhile, Apple watches that don’t feature the pulse-oximeter technology were unaffected by the ban, including the Watch SE.⁴
• Masimo has filed multiple lawsuits against the iPhone maker and submitted a complaint to the ITC in 2021, asking for the removal of Apple Watches with blood oxygen sensors. Apple denies infringing on any patent rights and is looking into redesigning its smartwatches.⁵

Sources: ¹CNN (a), ²CNN (b), ³NBC, ⁴Verge and ⁵Mobihealthnews.

Narratives

• Narrative A, as provided by 9to5mac. The ITC and the Biden administration were right not to bend the knee to Apple and protect the patent rights of designers. Apple has used its corporate power to rip off the ideas and designs of other companies, and it must adhere to rules and regulations just as any other company does. Apple clearly took parts of Masimo’s technology, and it cannot keep selling its new watches without righting its wrongs.
• Narrative B, as provided by Bloomberg. The ITC is trying to make an example out of Apple by banning its watches without concrete evidence that it violated any patent rights. In addition to unfairly imposing a ban on the products, the ITC has refused to issue an injunction until Customs and Border Patrol issues a ruling on the redesigned watches. This pause on the ban is fair.