The Shift Toward Hybrid Health Processing
The legal battle between Apple and Masimo has revealed a significant trend in how wearable technology is developed: the move toward hybrid processing. When faced with an import ban on its original blood oxygen sensor, Apple didn’t just abandon the feature. it redesigned the entire workflow.

Instead of the Apple Watch handling the measurement and calculation internally, the redesigned system uses the watch as a data collector. The sensor data is then transmitted to a paired iPhone, which performs the analysis and displays the results in the Health app.
This shift suggests a future where wearables act as sophisticated “sensor hubs” while the heavy computational lifting—and the proprietary logic that often triggers patent disputes—is shifted to the smartphone. This architecture allows companies to pivot quickly via software updates to circumvent hardware-based legal restrictions.
Med-Tech IP Warfare: Big Tech vs. Specialized Firms
The clash between a consumer electronics giant and a specialized medical device maker like Masimo highlights the growing tension in the health-tech space. As companies like Apple integrate clinical-grade monitoring into consumer devices, they frequently collide with established intellectual property (IP) held by medical firms.
The financial stakes are enormous. For example, a U.S. District Court jury previously awarded Masimo $634 million in damages after finding that Apple infringed on one of its patents. While Apple has indicated plans to appeal, claiming the patent in question expired, the verdict underscores the risk tech giants face when entering the medical sensor market.
the industry is seeing a trend of consolidation. Masimo, for instance, recently agreed to be acquired by Danaher for $9.9 billion, signaling that specialized health-tech IP is becoming an incredibly valuable asset for larger conglomerates.
The “Redesign” Strategy as a Legal Shield
Apple’s ability to maintain its product roadmap despite an import ban sets a precedent for the industry. By utilizing a software update to change how sensor data is processed, Apple effectively bypassed an exclusion order that had previously disabled the feature on Series 9 and Ultra 2 models.
This “software-defined” approach to hardware problems may turn into a standard playbook for other tech companies facing patent litigation. If a specific hardware implementation is banned, the solution may lie in shifting the logic to a connected device.
The Evolution of Non-Invasive Monitoring
Despite the legal turmoil, the demand for non-invasive health monitoring—specifically SpO2 (blood oxygen saturation)—continues to grow. The technology uses light transmitted through the body to measure how much oxygen red blood cells pick up from the lungs.

The future of this trend likely involves more “invisible” sensors. The industry is moving toward integrating these capabilities into more form factors, such as rings or clothing, reducing the reliance on a bulky wrist-worn device. However, as these sensors become more ubiquitous, the “patent minefield” created by companies like Masimo will likely intensify.
We can expect to see more companies investing in “clean room” redesigns—developing technology from the ground up to ensure no existing patents are infringed—to avoid the years of litigation and potential import bans that Apple has endured.
Frequently Asked Questions
The Apple Watch collects the sensor data, but the actual measurement and calculation are performed on a paired iPhone, with the results appearing in the iPhone’s Health app.
Is the Apple Watch blood oxygen feature currently available in the US?
Yes, the redesigned version is available for models such as the Series 9, Series 10, and Ultra 2 following the ITC’s decision not to reinstate the import ban.
What happened with the Masimo lawsuit?
While the ITC found that the redesigned feature does not infringe patents, a separate court case resulted in a $634 million damages award to Masimo, which Apple intends to appeal.
What do you think about the move to process health data on the phone rather than the watch? Is this a clever workaround or a step backward for wearable independence? Let us know in the comments below or subscribe to our newsletter for more tech industry insights!
For more details on the legal proceedings, you can view the latest updates from 9to5Mac or MedTech Dive.
