A U.S. trade tribunal on Friday ruled in favor of Apple, striking down a bid by medical technology firm Masimo to reinstate an import ban on the tech giant’s popular Apple Watches. The decision removes a significant legal overhang for Apple, whose wearables and home division accounts for over $40 billion in annual revenue.
The ruling was issued by the U.S. International Trade Commission (ITC), the same body that had previously implemented a short-lived ban on certain Apple Watch models in late 2023. “The Commission has determined that the petitioner has not shown that a cease and desist order is warranted,” the ITC wrote in its finding.
The dispute centers on patents for pulse oximetry technology, which measures blood oxygen levels. Masimo, a key player in the medical sensor market, has accused Apple of infringing on its patented technology in multiple versions of the Apple Watch. The previous ITC ban in December 2023 was briefly enforced before Apple released modified versions of its watches with the contested feature disabled.
This ruling is a clear win for Apple, solidifying its position in the wearables market and removing a major risk for investors. For Masimo, the path forward is less clear, as this decision weakens its leverage in ongoing and future patent litigation against the tech giant. Apple shares (AAPL) are expected to react positively to the news, while Masimo (MASI) may face pressure.
This article is for informational purposes only and does not constitute investment advice.