Apple Halts Sales of Some Apple Watches in the US
Apple Halts Sales of Some Apple Watches in the US
In a move to proactively address an ongoing patent dispute, Apple has decided to stop selling certain versions of the Apple Watch in the United States. The decision comes as the company faces a significant legal challenge from medical device maker Masimo over its blood oxygen feature. While Apple has marketed its smartwatch as a life-saving device, the dispute threatens to undermine its position in the market. This article will delve into the details of the patent dispute, the potential consequences for Apple, and the impact on consumers.
The Dispute with Masimo
The conflict between Apple and Masimo centers around Masimo’s pulse oximeter patent, which utilizes light-based technology to measure blood oxygen levels. In October, the US International Trade Commission (ITC) ruled that Apple had violated this patent. As a result, President Biden now has 60 days to review the ruling before a potential ban on certain Apple Watch models goes into effect.
Apple has expressed strong disagreement with the ITC’s findings and is actively pursuing legal and technical options to ensure that its watches remain available to customers. The company firmly believes that the ruling is inaccurate and plans to take the decision to the Federal Circuit. Apple has also submitted evidence highlighting the potential negative impact on healthcare, scientific research, and Apple Watch users who rely on the device’s health-related features, such as ECG and blood oxygen monitoring.
Masimo CEO Joe Kiani views Apple’s decision to halt sales of the devices as a pressure tactic aimed at President Biden. Kiani believes that this move is part of a deliberate infringement by Apple, and he is open to resolving the case through a settlement. The two companies have a history of ongoing disputes, with Apple previously filing two patent infringement lawsuits against Masimo in October 2022.
Implications for Apple and Consumers
The immediate consequence of this decision is the discontinuation of the Apple Watch Series 9 and Apple Watch Ultra 2 in the US. Apple will stop selling these models on its website starting Thursday and in retail locations after December 24. However, other models will remain available for purchase, with the Apple Watch SE unaffected by the potential import ban.
The impact on Apple’s business may be mitigated to some extent by the company’s decision to keep the watches available for purchase in stores until December 24. This strategy allows Apple to leverage the remaining holiday shopping days and potentially boost sales before the ban takes effect. While Apple holds a significant market share in the smartwatch sector, estimated at around 24%, the true extent of the impact on sales remains to be seen.
Apple’s sales figures for smartwatches demonstrate the device’s popularity, with 49 million units sold in 2022 and approximately 26.7 million sold in the first nine months of 2023. However, the duration of the dispute and the lifting of the ban will be key factors in determining the long-term consequences for Apple’s business.
Conclusion
The decision by Apple to halt sales of certain Apple Watch models in the United States is a proactive measure to address an ongoing patent dispute with Masimo. While the dispute threatens to undermine Apple’s position in the market, the company is actively pursuing legal and technical options to ensure the availability of its watches to customers. The potential import ban could impact sales of the Apple Watch Series 6 and later, as well as all models of Apple Watch Ultra imported after the review period ends.
However, Apple is focused on returning the affected models to customers as soon as possible and continues to believe in the inaccuracies of the ITC’s findings. As the dispute unfolds, the duration and resolution will ultimately determine the impact on Apple’s business and the experience of Apple Watch users.
Additional Information
Primary Keyword: Apple Watch sales, patent dispute
Secondary Keywords: Apple Watch Series 9, Apple Watch Ultra 2, Masimo, blood oxygen feature, patent infringement, US International Trade Commission, President Biden, pulse oximeter, light-based technology, Federal Circuit, ECG, healthcare, scientific research, Masimo W1, smartwatch sector, market share, sales figures
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