Jury Sides with Apple in Design Patent Dispute, Deals Blow to Masimo’s Smartwatch Sales

Wilmington, Delaware — In a notable legal victory, Apple Inc. successfully persuaded a federal jury that two design patents were infringed upon by Masimo Corp.’s smartwatches, leading to a $250 million damages award in favor of the tech behemoth. The verdict came as the latest development in a series of intense patent disputes between the two companies over their smartwatch technologies.

During the trial, the jury concluded that Masimo’s W1 and Freedom watch models, along with their charging devices, had willfully infringed upon Apple’s patented designs. Notably, the jury also decided that Masimo did not infringe on other Apple patents related to smartwatch technology which Apple had claimed were copied.

In response to the jury’s decision, Masimo expressed satisfaction that the damages were tied only to a module and charger that had already been discontinued. The company emphasized that the jury’s verdict largely sided with them, especially concerning their current products, which Apple had hoped to block from sales through an injunction.

Apple, headquartered in Cupertino, California, meanwhile, embraced the verdict as a protective measure for its innovations, stating, “We are glad the jury’s decision today will protect the innovations we advance on behalf of our customers.”

The dispute traces back to accusations by Masimo, based in Irvine, California, asserting that Apple not only poached its employees but also misappropriated its proprietary technology for measuring blood oxygen levels. This conflict escalated when Masimo managed to secure a block on imports of Apple’s Series 9 and Ultra 2 smartwatches into the U.S. following a ruling by the U.S. International Trade Commission last year. Apple resumed selling these models after removing the disputed technology.

In retaliation, Apple initiated a lawsuit in 2022 alleging that Masimo had mimicked features of the Apple Watch for its own devices. Furthermore, Apple claimed that Masimo’s legal actions, including its previous lawsuit at the ITC and other litigation in California, were strategic moves to pave the way for Masimo’s entry into the smartwatch market. Masimo rebuffed these allegations, labeling Apple’s lawsuit as retaliatory.

This legal tussle highlights the fierce competition and high stakes in the technology sector, particularly in innovations related to health monitoring. As companies increasingly delve into medical technologies, the overlap of patented technologies has become a frequent battleground, demonstrating the critical importance of intellectual property rights in fostering and protecting innovation.

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