In a major development, Apple has announced the suspension of sales for its flagship models, the Apple Watch Series 9 and Apple Watch Ultra 2, in the United States. The move comes as a response to a recent ruling by the International Trade Commission (ITC) in an ongoing patent dispute with medical technology company Masimo.

Apple Watch Series 9

Apple’s blood oxygen sensor technology for the Apple Watch was found to violate Masimo’s patents by the ITC in October, following a lengthy dispute. As a result, Apple has decided to halt sales preemptively, anticipating compliance with the ITC’s decision. The ban is set to take effect after 3 p.m. ET on Thursday, December 21, with in-store inventory unavailable after December 24.

On the other hand, Masimo, the medical technology company at the center of the dispute, sees the ITC’s ban as a validation that even a tech giant like Apple is not above the law. The company remains engaged in ongoing legal battles, including a mistrial in a district court case.

Presidential Review Period and Apple’s Stand:

The case now enters a 60-day Presidential Review Period, ending on December 25, during which President Biden could veto the ruling. Apple, in a statement, expressed disagreement with the ITC’s decision and is exploring legal and technical options to ensure the availability of the Apple Watch Series 9 and Ultra 2 to customers.

Effect on Market, and Future Course:

The ITC’s ban solely affects the sales of the Apple Watch Series 9 and Ultra 2, given their blood oxygen monitoring capabilities. The lower-end Apple Watch SE, lacking this feature, remains unaffected and will remain available. While the ban restricts Apple’s sales, other outlets, including Amazon and Best Buy, may still offer these models.

Apple plans to file an appeal with the U.S. Court of Appeals for the Federal Circuit on December 26, challenging the ITC’s decision. However, appealing the decision will not delay the ban’s immediate impact. Apple’s future actions remain uncertain, including potential settlements, licensing agreements with Masimo, or design alterations. The company assures customers that it is actively working to resume sales as soon as possible.

As the clock ticks down on the Presidential Review Period, the tech world awaits the fate of Apple’s iconic wearable series, with potential ramifications for the broader wearables market.

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