Apple Watch drops blood oxygen features to dodge import ban

Apple’s redesigned Apple Watches can bypass an import ban on certain newer models stemming from the tech giant’s patent infringement dispute with Masimo, the medical monitoring technology firm said in a court filing.

The U.S. International Trade Commission (ITC) imposed an import ban on the Apple Watch Series 9 and Ultra 2 last month after the ITC found the watches’ pulse oximeters, which read blood oxygen levels, infringed on Masimo’s patents. Apple appealed the ruling and got a reprieve pending a decision by U.S. Customs and Border Protection (CBP), which was determining whether the redesigned watches were covered by the ITC’s ban.

Attorneys for Masimo wrote in a court filing that on Friday, Jan. 12, the CBP’s Exclusion Order Enforcement Branch determined that “Apple’s redesign falls outside the scope of the remedial orders” in the ITC ban. The filing noted that Apple explained that its redesigned watches “do not contain pulse oximetry functionality.” 

It added that Apple has maintained that certain information from the exclusion order enforcement hearing is confidential, so no copy of the CBP decision was included in the filing or has been made publicly available.

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“Apple’s arguments lead to the conclusion that the EOE Branch decision finding the redesign outside the scope of the remedial orders would eliminate any irreparable harm alleged by Masimo,” the filing stated.

Ticker	Security	Last	Change	Change %
AAPL	APPLE INC.	183.63	-2.29	-1.23%
MASI	MASIMO CORP.	120.10	+1.78	+1.50%

A Masimo spokesperson told FOX Business in a statement, “Apple’s claim that its redesigned watch does not contain pulse oximetry is a positive step toward accountability. It is especially important that one of the world’s largest and most powerful companies respects the intellectual property rights of smaller companies and complies with ITC orders when it is caught infringing.”

Apple did not immediately respond to a request for comment.

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Apple has included a pulse oximeter feature in its smartwatches since its Apple Watch Series 6 was released in 2020.

Masimo sued Apple that winter, alleging the tech giant stole trade secrets related to technology for reading blood oxygen levels and infringed on its patents. Apple then countersued Masimo for patent infringement, alleging that its actions were a legal “maneuver to clear a path” for a competing smartwatch. Masimo released its W1 watch which tracks blood oxygen levels and other health indicators in 2022.

In 2021, Masimo asked the ITC to block imports and sales of Apple Watches that allegedly infringed its patents. That led to the ITC’s ruling in favor of Masimo last year and the ban taking effect in December. Apple briefly paused sales of its Series 9 and Ultra 2 watches in the days before Christmas before the decision, though it resumed sales after the Federal Circuit Court of Appeals said it would put the ban on hold while it considers Apple’s appeal.

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Apple’s appeal is pending before the Federal Circuit, which may continue the pause or reinstate the ban on Series 9 and Ultra 2 Apple Watches with pulse oximetry technology that haven’t been redesigned. The company said Monday that it expects the appeal to take at least a year.

Versions of the Apple Watch that don’t contain the blood oxygen sensor are unaffected by the patent dispute and can continue to be sold without being redesigned.

Reuters contributed to this report.