Uniqueness flows aff. Monopolies are planning to change the I.T.C -which makes the aff try or die
Mickle 24 (Tripp Mickle, 3/19/2024, “Apple Keeps Losing Patent Cases. Its Solution: Rewrite the Rules.”, https://www.nytimes.com/2024/03/19/technology/apple-patents-lobbying.html, Tripp Mickle reports on Apple and Silicon Valley for The Times and is based in San Francisco. His focus on Apple includes product launches, manufacturing issues and political challenges. He also writes about trends across the tech industry, including layoffs, generative A.I. and robot taxis. )
Over the past decade, some of Apple’s biggest regulatory headaches have come from a little-known federal agency called the U.S. International Trade Commission. The agency’s patent judges have found Apple guilty of appropriating innovations in smartphones, semiconductors and smartwatches. And recently, they forced Apple to remove a health feature from Apple Watches. Now the tech giant is pushing back. While it defends itself from patent complaints before the I.T.C., Apple has begun lobbying lawmakers to help rewrite the agency’s rules. The company has been campaigning across Washington for legislation that would make some patent owners ineligible to bring complaints before the I.T.C. It has sought to influence the language of committee reports that could affect how the agency levels punishments. And it has added to its lobbying might by enlisting one of the agency’s former commissioners. The lobbying effort comes as Apple is enmeshed in a multiyear legal battle with two U.S. medical device makers over technology in the Apple Watch. The companies, AliveCor and Masimo, filed complaints in the I.T.C. against Apple in 2021 for appropriating innovations they had developed to measure the heart’s electrical activity and people’s blood oxygen levels. After losing both cases, Apple this year removed the technology to measure blood oxygen in its watches, which infringed on Masimo’s patent. It is appealing the I.T.C.’s decision. A similar punishment is on hold as court proceedings continue related to the I.T.C.’s finding that Apple infringed on AliveCor’s innovations with the Apple Watch’s electrocardiogram feature. Apple is trying to blunt the agency’s signature power. Unlike traditional patent courts, where juries or judges typically issue fines, the I.T.C.’s judges can discipline a company that violates a patent by banning imports of the infringing product. Because Apple makes all its signature devices overseas, a block on the import of its devices would be perilous to the company. To avoid that penalty in the future, the company says, it wants the agency to put the public interest of a product ahead of a ban. The company is betting that the court would then give more credence to Apple’s argument that Americans would be harmed by an import ban because they would lose access to the communication and health features in iPhones and Apple Watches. An Apple spokeswoman said the existing law requires that the I.T.C. consider how the public interest could be affected before ordering an import ban. But it said public data showed that the agency had made public-interest evaluations in only one-fifth of cases it had heard since 2010. As a result, its lobbyists have been talking with White House and congressional leaders about the I.T.C., as well as other issues such as privacy and domestic manufacturing. Adam Mossoff, a patent law expert and a professor at George Mason University, said Apple was misinterpreting the law, which requires the I.T.C. to block a product if it finds that it infringes on a patent. An import ban is supposed to be overruled only if there’s a proven threat to health or safety, he said. Blocking sales of an Apple device wouldn’t qualify as harmful. “The problem with their lobbying is that they’re trying to neuter a well-functioning court by closing its doors to Americans who have had their rights infringed,” he said. When Congress set up what became the I.T.C. in 1916, it wanted to protect American innovation by allowing the U.S. government to ban the import of products with stolen technology. But as manufacturing moved overseas, the federal agency’s court system became a forum for disputes between U.S. companies. The I.T.C.’s judges, who are appointed by the commission, hold hearings with different standards for patent disputes than those that govern District Court cases. The cases are fast and compressed and can culminate with the judge’s punishing a patent abuser by blocking its products. Before a ban is put into effect, a company that’s found guilty can appeal to the White House for a reprieve. But it’s rare for an administration, which oversees the agency, to go against a judge’s recommendation. Apple has become the pre-eminent example of how the I.T.C. can be used. Because the company manufactures almost all its products overseas, the judges who have found it guilty of infringing on patents in smartphones, semiconductors and smartwatches say it should be punished by blocking the import of iPhones, iPads and Apple Watches.