The U.S. International Trade Commission (ITC) has announced a new proceeding to determine whether imports of Apple’s updated Apple Watches should be banned, continuing a protracted legal battle with medical technology company Masimo Corp (MASI.O) over blood-oxygen monitoring patents.

The ITC order states that the investigation will examine whether Apple Watches, redesigned to circumvent a prior import ban, still infringe Masimo’s pulse-oximetry technology patents. The commission aims to complete the review within six months, highlighting the urgency and significance of the dispute for Apple and the wearable health device market.

Apple and Masimo Legal Conflict

Apple criticized the ITC investigation, calling it a “meritless attempt” to block the company’s blood-oxygen monitoring feature. The tech giant also argued that Masimo had copied elements of Apple Watch design to support its patent claims.

This case is part of a broader multi-front legal battle between Apple and Masimo, an Irvine, California-based medical technology firm. Masimo has accused Apple of poaching employees to gain access to its proprietary pulse-oximetry innovations.

In 2023, the ITC blocked imports of Apple’s Series 9 and Ultra 2 smartwatches, citing infringement of Masimo patents. To comply with the ruling, Apple temporarily removed blood-oxygen monitoring from its devices and later reintroduced an updated version in August, cleared by U.S. Customs and Border Protection (CBP).

Masimo has filed a lawsuit against CBP over the approval, while Apple has challenged the ITC’s prior ban in a federal appeals court. Simultaneously, Masimo pursued patent infringement and trade-secret litigation against Apple in California federal court, which recently resulted in a $634 million damages award for Masimo.

Other legal developments in the dispute include:

• A mistrial in Masimo’s trade-secret case in 2023 after the jury could not reach a unanimous decision.
• A $250 verdict in favor of Apple in Delaware in a countersuit alleging Masimo’s smartwatches infringed Apple design patents.

Industry and Market Implications

This new ITC review underscores the continuing regulatory and legal risks facing Apple’s smartwatch operations. With the global wearable health technology market growing rapidly, patent disputes over blood-oxygen and heart-rate monitoring technologies could have significant implications for product launches, cross-border imports, and shareholder value.

As Apple seeks to maintain its position as a leader in smartwatch innovation, the outcome of this ITC proceeding will be closely watched by investors, regulators, and competitors in the health-focused wearable device sector.