A stunning legal blow has landed for Apple, resulting in a court-ordered payment of $634 million. The verdict stems from a protracted battle with medical technology firm Masimo, centered on a critical patent dispute.
The heart of the case revolved around a pulse-oximetry feature found in several Apple Watch models. A federal jury decisively agreed that Apple had infringed upon Masimo’s patented technology, a claim Apple vehemently contested throughout the proceedings.
The financial stakes were immense. Apple argued for damages in the low millions – between $3 million and $6 million – while Masimo sought between $634 million and $749 million. The jury sided firmly with Masimo’s higher valuation.
A pivotal element of the ruling was the jury’s determination that certain Apple Watch models could legally be classified as “patient monitors.” This classification was central to establishing patent infringement, a point Apple actively fought against.
Apple maintained that its smartwatches didn’t qualify as continuous monitoring devices, a key requirement for the “patient monitor” designation. However, Masimo successfully argued that Apple’s actions demonstrated an acceptance of this definition, despite any differing marketing language.
This legal conflict has been simmering for years, dating back to 2020. Masimo initially accused Apple of poaching employees and infringing on patents related to the Apple Watch Series 4 and 5, a claim that expanded to encompass subsequent models – the Series 6, 7, 8, 9, and Ultra.
The dispute escalated last year when the U.S. International Trade Commission halted sales of the Series 9 and Ultra 2. Apple responded by disabling the blood-oxygen sensors via software updates, a feature later reinstated in August, albeit in a significantly altered state.
Apple has publicly stated its intention to appeal the verdict, expressing strong disagreement with the court’s decision. The company believes the ruling is unsupported by the facts presented during the trial.
In a released statement, Apple characterized Masimo as a medical device company without direct consumer sales, highlighting a history of numerous lawsuits and patent assertions – most of which, Apple claims, have been invalidated. They also pointed out the patent in question expired in 2022, relating to older, decades-old patient monitoring technology.
