Apple Watch Popularity Soars to 59% in the U.S. Despite Facing Sales Ban

Apple dominates in the smartwatch arena, boasting an impressive 59% market share, overshadowing rival Fitbit by a commanding 32%, according to data from Stocklytics.com.

This is a surprise as the International Trading Commission (ITC) recently slapped a sales ban on the latest Apple smartwatches, throwing the tech giant into disarray. The embargo, a response to alleged patent infringement against Masimo, threatens to dent Apple’s projected earnings of a whopping $120 billion by the quarter’s close.

Acting swiftly, Apple yanked several smartwatches off its global shelves before the December 26th deadline, marking a preemptive strike against the ITC’s verdict. The adamant commission claims Apple violated Masimo’s patent rights by incorporating cutting-edge technology capable of measuring blood oxygen levels.

Due to the ban, consumers are left disgruntled with only a handful of models, notably the Series 9 and Ultra Series 2, available in select stores. Surprisingly, this setback hasn’t hindered Apple’s dominance.

Edith Reads, financial analyst at Stocklytics.com, weighs in on the situation, stating, “Apple’s sustained market dominance speaks volumes about its global influence. While the ban may have dealt a blow to sales, it’s premature to gauge its impact on the broader smartwatch market.”

Masimo Sues Apple in Court and at ITC

The battle between Apple and Masimo has been anything but short-lived. Commencing in 2020, when Masimo accused Apple of corporate espionage and technology theft, the feud escalated with a lawsuit at the ITC over the introduction of blood oxygen measuring technology in the Apple Watch Series 6.

Apple did not take all this well and retaliated with a countersuit in 2022. However, they lost the suit to the medical company, calling off the sales of the two later models, Series 9 and Ultra Series 2, by December 26th. 

Reprieve for Apple Following Court Decision

While there was hope that Biden would overrule the ITC’s decision, he did not take any action. 

Following his silence, Apple filed an emergency request for the U.S. Court of Appeals for the Federal Circuit to halt the ban. With the redesigned versions of the watches already sent to the U.S. Customs and Border Protection, the court has ruled on an ephemeral period for the tech giant. 

The court ordered a pause on the ban and granted the International Trade Commission up to January 10th to respond to the appeal request. In the meantime, Apple can sell its series 9 and Ultra series 2 to its customers.

The temporary halt on the ban is excellent news for the tech giant, considering they can sell their product to all those who missed out on their Christmas gift watches.