Apple has declared a suspension of sales for its smartwatches, namely the “Series 9” and “Ultra 2,” in the United States effective this week. This decision arises amidst a patent conflict concerning the technology facilitating the blood oxygen sensing feature in these watches.
This action comes in the wake of an October ruling by the U.S. International Trade Commission that could potentially prohibit Apple from selling these watches, citing a violation of patent rights owned by the medical technology company “Masimo.”
The Biden administration has until December 25 to review the decision. Nevertheless, Apple has indicated that it is “taking measures to comply should the ruling be upheld.”
The U.S. Trade Representative’s office, overseeing the case in the Biden administration, reported that Ambassador Katherine Tai is “carefully evaluating all aspects of this case.”
If there is no objection from the office, the ban will come into effect on December 26.
Apple has announced the cessation of online sales of the watches from December 21, and sales from its retail outlets will cease after the 24th of the same month.
Other models without the blood oxygen sensor, such as the “Apple Watch SE,” will remain unaffected by the dispute.
Masimo’s CEO, Joe Kiani, expressed a willingness to engage in negotiations with Apple in October, as reported by CNBC.
In a statement on Monday, Masimo emphasized the need to respect the decision of the International Trade Commission, underlining the importance of safeguarding intellectual property rights and upholding public trust in the U.S. patent system while fostering American industry.
According to Counterpoint Research, Apple holds approximately a quarter of the global smartwatch market, a share that tends to increase to over a third during the fourth quarter holiday sales season in the United States and Europe.
Both the “Series 9” and “Ultra 2” models will continue to be available for purchase outside the United States, including during the Asian Lunar New Year season.
Apple has expressed its belief that the findings of the International Trade Commission are inaccurate and should be overturned. The company affirms its intention to appeal the decision to the federal court.
On Monday, the company’s stock closed down 0.9 percent.
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