A violation of Masimo’s patents has resulted in various Apple Watch models getting banned in the U.S., though their sales will not be halted until December 21. Both companies have had a long history, as the health-focused technology corporation filed the lawsuit in 2020. However, according to the latest findings, Masimo appears to be on a vendetta against the Califoria-based giant, and his efforts in getting the Apple Watch banned in the U.S. have cost him around $60 million, but his reason for going against one of the largest entities in the world may not be misguided, as talked about in the latest rumor.
Apple and Masimo seemingly met for a future partnership, but Apple had other plans, recruited its competitor’s employees, and made other decisions
Apple and Masimo had previously met up for talks about a potential partnership or even an acquisition, according to Sheel Mohnot on X, but the rumor claims that Apple had intentions to take the technology for itself, which is now found in various Apple Watch models. To bring its plan to fruition, not only did Apple recruit 20 Masimo employees, adding to its overall headcount that is in the thousands, but the firm also doubled their salaries. Additionally, the company gave Masimo’s Chief Technology Officer $4 million to join the Cupertino firm.
The CTO’s name has not been mentioned in the post, but in just the first two weeks at his new designation at Apple, the former Masimo executive filed for 12 patents for sensors that ended up being his previous employer’s trade secrets. The rumor also states that Apple did not receive FDA approval for the product as Masimo did, and its CEO, Joe Kiani, who is an electrical engineer, decided to fight tooth and nail to ensure that Apple failed in its endeavors. It has been a long, hard road for Kiani, as in 2021, the International Trade Commission recommended that the Apple Watch be banned for patent infringement.
Apple is a real bully. Apple + Maximo met for partnership/acquisition talks but Apple had a secret plan (Project Everest) to steal the tech without paying. They even recruited 20 of Masimo’s team, doubling their salaries…. Apple paid their CTO $4M to come over, and in his 1st 2… https://t.co/19kBBWsQuR
— Sheel Mohnot (@pitdesi) December 19, 2023
With the latest development, the moment is likely bitter-sweet for Kiani, as the rumor states he has spent $60 million fighting Apple. As usual, the most valuable company in the world is not backing down and is said to be working on a software update that will allow it to complete U.S. customs requirements and resume Apple Watch sales. The sales ban is currently inactive in the region, as the Biden administration has yet to give a final verdict. Still, Apple must halt Apple Watch Series 9 and second-generation Apple Watch Ultra sales in the country starting December 21.
Masimo also argues that a mere software update will not help Apple circumvent these violations and that hardware modifications in a future smartwatch model are required to resume sales. Whatever the decision might be, Kiani does not appear to be backing down from a fight, and the current outcome might have given the CEO some solace.