TradeEdge-Too late to buy an Apple Watch for Christmas? Apple pauses Ultra 2, Series 9 sales

Apple is TradeEdgehalting sales for two of its new smartwatch models, at least for the time being.  

The Apple Watch Series 9 and Apple Watch Ultra 2 will soon no longer be available for purchase in the U.S., with Apple set to drop the device from its website starting at 3 p.m. ET Thursday and its retail stores after Sunday. Both versions of the smartwatch launched in September.  

The sales pause comes after the U.S. International Trade Commission determined that Apple’s blood oxygen feature violated medical technology company Masimo's patent rights. Apple said it intends to appeal the decision to the Federal Circuit, arguing that a pause on sales could negatively impact users who rely on Apple Watch safety and health features.

"Apple strongly disagrees with the order and is pursuing a range of legal and technical options to ensure that Apple Watch is available to customers," the company said in an emailed statement. Should the ITC's order stand, "Apple will continue to take all measures to return Apple Watch Series 9 and Apple Watch Ultra 2 to customers in the U.S. as soon as possible.”

Why are Apple Watch sales halted?

The decision comes after Irvine, California-based Masimo accused Apple of using blood-oxygen tracking technology that infringed its patents. Apple's blood oxygen feature first launched with the Series 6 Apple Watch in 2020. 

Masimo filed a complaint in 2021, and the U.S. International Trade Commission in October issued orders that would ban Apple from importing and selling watches that use the blood oxygen feature.

"The decision to exclude certain foreign-made models of the Apple Watch demonstrates that even the world's most powerful company must abide by the law,” Masimo said in an emailed statement.

Apple has also accused Masimo of infringing patents and filed two lawsuits against the company last year after Masimo launched its own smartwatch.

The White House has until Dec. 25 to review the ITC's restrictions, but Apple said it started the pause sales early to ensure compliance with the ITC’s order should the ruling stand. 

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Are other Apple products affected?

Apple’s website says the Blood Oxygen app is available on the Apple Watch Series 6 or later, excluding the Apple Watch SE. The Apple Watch SE will continue to be available for purchase from Apple's website and U.S. stores, and both the Series 9 and Ultra 2 watches will still be available for purchase outside the U.S. The ITC's order would have no impact on Apple Watches that have already been purchased.

The company’s wearables, home and accessories brought in more than $9 billion last quarter, or about 10% of total net sales, according to regulatory filings.  

Apple’s stock price fell 0.85% Monday, closing the day at $195.89.