Biden Declines to Veto Apple Watch Import Ban

Apple's Deidre Caldbeck showcases the enhanced features of the new Apple Watch lineup during a special event at Apple Park in Cupertino, Calif., on Sept. 7, 2022. Brooks Kraft/Apple Inc./Handout via Reuters

The Biden administration declined to veto a trade court’s decision that could block imports of Apple Watches.

The U.S. International Trade Commission (ITC) announced a ban on imports of Apple’s watch products for infringing on AliveCor patents related to heart monitoring, on Feb 21.

The ITC case was filed under Certain Wearable Electronic Devices With ECG Functionality and Components Thereof, U.S. International Trade Commission, No. 337-TA-1266.

Apple said it would immediately appeal the ITC’s import ban decision, calling its decision a harmful to public health.

AliveCor holds patents for electrocardiogram (ECG) technology in smartwatches containing pulse oximeters, currently used in some of the latest Apple Watch models. The company had prevailed over Apple in December 2022, when the ITC announced a ruling in favor of the heart-monitoring company after hearing its case.

The ITC ruled that imports of Apple’s smartwatches should be banned for infringing AliveCor’s patents, but it paused the implementation of a potential ban while related legal proceedings between the two companies run their course.

The case will eventually go before the full ITC and will be subject to appeals and potential pauses during patent challenges.

Prior to the December ruling, the Patent and Trademark Office had found AliveCor’s patents invalid in a ruling which the company promised to appeal.

White House Permits Apple Watch Ban

When the ITC normally issues a ruling, the White House is given a 60-day presidential review period in which it could decide whether to veto the ITC’s ruling based on policy concerns.

However, that period finally elapsed due to inaction by the administration.

A spokesperson for AliveCor told Reuters that the company was informed by the Biden administration that there would be no veto of the ruling.

“We applaud President Biden for upholding the ITC’s ruling and holding Apple accountable for infringing the patents that underpin our industry-leading ECG technology,” said AliveCor CEO Priya Abani in a statement.

“This decision goes beyond AliveCor and sends a clear message to innovators that the United States will protect patents to build and scale new technologies that benefit consumers.”

Presidential vetoes of ITC import bans are normally rare, but in 2013, the Obama administration reversed a ban on some iPhones and iPads after a similar ruling.

The ban was lifted after a serious patent war between Apple and Samsung caused potential harm to American consumers and economic competition.

Apple Sued for Stealing Electrocardiogram Patents

AliveCor sued Apple for infringing on three patents related to its KardiaBand, an Apple Watch app that monitors a user’s heart rate, detects irregularities, and performs an ECG test to identify heart problems like atrial fibrillation.

The California-based company told the ITC that Apple copied its technology and then pushed it out of the market by making its watch’s operating system incompatible with its KardiaBand. Apple Watch Series 4, 5, 6, 7, and 8 all contain the allegedly stolen ECG technology.

The health app company has filed a separate related patent infringement lawsuit against Apple in a Texas federal court.

AliveCor has filed a third case against Apple in a federal court in San Francisco for allegedly monopolizing the American market for Apple Watch heart-rate apps. The U.S. tech giant then countersued them in the same court for allegedly infringing its own patents.

Meanwhile, an ITC administrative judge recently ruled that Apple violated a patent belonging to Masimo and was solely installed on the Apple Watch Series 6.

Apple was accused of infringing on the company design that allowed light sensors to gauge blood oxygen levels in its smartwatches with a pulse oximeter.

Reuters contributed to this report.