Apple Watches could be BANNED from being imported to the US soon after the holidays following bombshell ruling in patent lawsuit

Apple Watches may soon be banned from import into the US after a stunning ruling from a trade court, which could make the popular devices a collectible after the holidays.

Last week, the US International Trade Commission issued a “limited exclusion order” on some Apple Watches that will eventually ban smartwatch imports.

Import ban and cease and desist sales of Apple Watches — which dominate 60 percent of the smartwatch market, according to Counterpoint Research – It is scheduled to take effect on December 26.

President Joe Biden could block a ban that would cut into a significant portion of Apple’s estimated $14 billion to $18 billion in annual watch revenue, but it would be an unusual step to override the trade court’s decision.

The commercial court upheld a ruling in January that Apple infringed Masimo’s patent on light-based technology for reading vital signs such as blood oxygen levels.

The ruling means Apple will have to stop selling watches, except for the SEO model, at Christmas.

In September, Apple launched the Apple Watch Series 9. The US International Trade Commission issued a ban that could result in smartwatches being banned shortly after the holidays.

Masimo (left), a global medical technology company, said that Apple (right) infringed its patent on light-based technology to read vital signs such as blood oxygen levels.

“The USITC ruling sends a strong message that even the largest company in the world is not above the law,” said Joe Kiani, Founder, Chairman and CEO of Masimo. statement.

“This important decision is a strong affirmation of our efforts to hold Apple accountable for the unlawful misappropriation of our patented technology.”

The iPhone maker said it plans to appeal the matter to federal court.

“Our teams work tirelessly to create products and services that empower users with industry-leading health, wellness and safety features,” Apple said.

“Masimo wrongly attempted to use the ITC to hold on to a product that could potentially save the lives of millions of American consumers while making way for their own Apple-imitating watch.”

Apple rejected Masimo’s claims and said it respects other companies’ intellectual property.

Global medical technology company Masimo first complained in 2021 that the Apple Watch Series 6, released in 2020, and all subsequent models used technology that infringed on its blood oxygen sensor patent.

In September, the tech giant launched the Apple Watch Series 9 that features touchless capability to answer calls, take a photo with the Camera Remote, and snooze alarms — with users tapping their index and thumb together to perform these tasks.

Watch prices range from $399 to $699.

President Joe Biden could also step in and overturn the ruling. But presidents rarely overrule nonpartisan agencies

The app uses machine learning to detect small changes in blood flow when a user taps their fingers together, freeing up the other hand for other tasks like walking a dog or holding a cup of coffee, said Jeff Williams, Apple’s chief operating officer.

according to New York timesMasimo claimed that instead of purchasing a license for this technology, Apple strategically hired more than 20 employees from the competing company.

The Commercial Court ruling means Apple will have to stop selling all Watches except the SE model at Christmas. But the two sides could reach an agreement that would allow Apple to use this technology.

President Biden could also step in and overturn the ruling. But presidents rarely overrule nonpartisan agencies, the Times noted.

Apple generated revenue of approximately $14 billion to $18 billion during 2022 from watch sales, as part of its wearables and accessories division, according to Application business.

In May, a California judge declared a mistrial in another trade secrets lawsuit filed by Masimo against Apple after a jury failed to reach a unanimous verdict.

Separately, Apple has sued Masimo for patent infringement in a federal court in Delaware. The company has claimed that Masimo is trying to clean up its own smartwatch.