We learn that the medical device manufacturer has put some $100 million on the table to defend its patents against Apple, or more than two thirds of its profits in 2022 (144 million).
Joe Kiani emphasizes having gone against many employees and friends, who feared the risks generated by this legal battle that began in January 2020. Faced with the unlimited resources of the Apple company, “They told me I was crazy and that I couldn’t stand up to Apple”says Joe Kiani.
The CEO of Masimo points out in passing that he has won important lawsuits for patent violations against large companies, such as Nellcor in 2006 and Royal Philips in 2016. Agreements had also been concluded, allowing his firm to receive respectively 800 million and $300 million in compensation. Concerning Royal Philips, a licensing agreement was even signed, which would have generated more than a billion dollars for Masimo, explains its CEO.
Asked about the current legal battle, the manager emphasizes that the Cupertino company has not yet started a “serious discussions around an agreement”.
As a reminder, the next chapter of the Apple-Masimo soap opera will take place on January 12, 2024, the date on which the US customs service will rule on Apple’s update aimed at circumventing Masimo’s patents.