Apple’s Legal Woes Over Patented Technology
Recent events could have very negative consequences for Apple, potentially even in the long term. The company is grappling with an import and sales ban on its latest smartwatch series—the Apple Watch Series 9 and the Apple Watch Ultra 2—in the United States. The situation stems from Apple’s use of stolen patented technology in these devices.
Impact of the Stolen Technology on Apple Watch Sales
Apple is facing the repercussions of its actions as the new series of smartwatches are found to employ stolen technology from the company Masimo. The Apple Watch Series 9 and Apple Watch Ultra 2 can no longer be imported and sold in the United States.
Apple Confronts Lawsuit Over Stolen Technology
The situation is quite serious for Apple, now facing substantial losses that could increase in the near future. Masimo sued Apple back in 2020 for “poaching employees and patented technology.” The latter related to the measurement of blood oxygen saturation, which these smartwatches from Apple have been proven to use illicitly. The United States International Trade Commission (USITC) has decided that Apple may no longer sell or import the Apple Watch Series 9 and the Apple Watch Ultra 2 into the USA. President Joe Biden had until December 25, 2023, to overturn this ban, but no such action was taken, leaving the ban active.
Apple Appeals Against The Sales Ban
Apple has already filed an appeal that attempts to temporarily halt the entire ban, claiming that such actions are not in the public interest as they deprive consumers of potentially life-saving technology. Furthermore, Masimo does not offer a competing solution, and only Apple would incur significant losses. Apple’s appeal against the USITC’s decision can be found here. However, the company would likely need to settle with Masimo, as the issue revolves around theft of intellectual property. Apple’s defense is questionable at best, and it will undoubtedly be difficult to justify such actions. Should this situation persist over time, Apple can expect substantial losses.
Source: Apple Insider, The Verge
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