Apple Watch Forced to Remove Blood-Oxygen Sensor to Avoid Ban
Apple Inc. is notorious for releasing the latest and greatest tech items, and the newest Apple Watch series 9 and the Apple Watch Ultra 2 were highly anticipated by Apple Watch lovers everywhere.
However, after news was released that there was a sales ban on the latest tech products, many people had to wait to get the new series. Aside from consumer disappointment, Apple itself took a hit to its sales during Christmastime - the busiest shopping season of the year. Not only could their sales have taken a huge dip of an potential $300-400 million, but Apple shares also decreased by nearly 1%.
While Apple was scrambling to find a way around the sales ban - such as instituting software changes - they have since come to a resolution to avoid the ban altogether.
Why Were these Apple Watch Models Banned?
On Monday, December 18th, 2023, Apple had announced its plan to remove the Apple Watch Series 9 and Apple Watch Ultra 2 from shelves and online after a ruling by the US International Trade Commission (ITC), which oversees trade and intellectual property disputes.
Back in October 2023, the ITC found that Apple's blood oxygen sensor infringed on patents from Masimo - a health technology and consumer electronics company that manufacturers monitoring devices and non-invasive sensors for patients.
Masimo's CEO, Joe Kiani, accused Apple of "misleading his company by engaging in acquisition and partnership talks before systematically poaching his technical staff", according to CNBC.
Kiani tells CNBC, "“I don’t care that much about the Apple leadership, given about what I know about how they run the company. I still extended the olive branch and offered to work with them for the betterment of people and our shareholders, and not even a call.”
On Wednesday, December 20th, 2023, the ITC denied a motion for Apple to continue to sell these models until an appeal. Meaning, customers could no longer buy these Apple Watch models in store or online starting Thursday, December 21st, 2023.
However, customers could still buy these Apple Watches on third party sites, such as Amazon and Best Buy, until supplies lasted.
The company stated that they strongly disagreed with the ban and would "take all measures" to bring the newest Apple Watch back to customers in the U.S. as soon as possible.
In response to the sales ban, Apple successfully sued to block the ITC's ruling temporarily. So, although the ban went into effect on December 26th, 2023, it was blocked temporarily on December 27th, 2023.
How Apple Avoided the Sales Ban
One of the most anticipated features that Apple had been marketing for its newest Apple Watch models was the blood-oxygen level sensor, which would have the ability to measure the saturation of oxygen carried in the user's red blood cells. In short, this type of sensor can help determine how well your body absorbs the oxygen you breathe.
According to the Mayo Clinic, you need a blood oxygen saturation level of at least 90% to be considered healthy. If your blood-oxygen levels are low, it could lead to damage to the brain, heart, and other vital organs.
The blood-oxygen sensors on the Apple Watches would have helped user's measure this important part of your health, but the sales ban has forced the company to remove it.
The decision to remove the blood-oxygen level measurement feature has helped Apple lift the ban and allows the tech company to continue importing the smartwatches into the United States.
A spokesperson for Masimo said in a statement that Apple's decision is, "a positive step towards accountability." Adding, "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."
What's Next for Apple?
The new Apple Watches have already been shipped to Apple retail stores in the U.S., but they are not yet approved for sale.