iPad 2 and iPhone 4 WILL be sold in US after Obama scraps trade ban on Apple imports imposed after tech giant violated Samsung's patents

A ban on Apple products set to begin today was overturned by the Obama administration

• The ban was instated by the International Trade Commission because Apple violated Samsung patents
• The ruling was overturned because it would give patent holders 'undue leverage'
• Apple and Samsung are embroiled in a legal battle over patents

President Obama's trade representative has reversed a ban on imports of Apple iPad 2 and iPhone 4, overturning a decision by the International Trade Commission banning the imports.

The ban on the Apple products from sale in the U.S. was originally instated by the ITC in June because Apple had violated Samsung patents on wireless technology.

Following the ITC decision, the Obama administration had 60 days to decide if it would uphold the commission. U.S. Trade Representative Michael Froman overruled the decision based on the type patent at issue in the Apple case. 

Patent dispute: The patent at issue in the case for banning several Apple products belongs to Samsung

Froman wrote that the administration feared a ban would give patent holders 'undue leverage' over competitors when attempting to license new technologies and has recommended that the ITC's power to impose import bans in similar cases. 

It was the first time since 1987 a product ban like this had been overturned by an administration.

Meanwhile, Apple and Samsung are embroiled in a legal battle over smartphone technologies. 

 

Samsung is accusing Apple of infringing its patents on the iPhone and iPad products that were almost subject to a ban, while Apple is arguing that Samsung's Android phones copy iPhone features. 

Samsung said in a statement late Saturday night that it was disappointed in Froman's ruling, saying the ITC 'correctly recognized that Samsung has been negotiating in good faith, and that Apple remains unwilling to take a license.'

Overruled: The U.S. Trade Commissioner Michael Froman, who overturned the ITC decision

In an email, Apple spokeswoman Kristin Huguet said the company applauded the administration 'for standing up for innovation.'

Companies license patented technology to competitors so the devices can communicate as part of an industry standard for cellphones. Under the 'standards-essential patent' legal theory prevailing in federal courts, holders of such patents are obligated to license them to all comers on 'fair, reasonable and non-discriminatory' terms.

Last year, a federal court ruled that Samsung owed Apple $1 billion in damages for infringing on non-essential Apple patents. But the judge refused to impose an import ban on Samsung phones and later struck $450 million from the verdict, saying the jurors miscalculated. The case is set for a rematch in appeals court.

Samsung is the world's largest maker of smartphones. Analysts estimate it outsold Apple nearly 2 to 1 in the first three months of the year. However, Apple's smartphone business is more profitable

The iPhone 4 was launched in 2010 and is the oldest iPhone still sold by Apple. The ITC ruling applied only to the AT&T version of the phone. Apple is likely to retire the model.

Apple launched the iPad 2 in 2011. The ruling applies only to the version equipped with a cellular modem for AT&T's network.