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The Street
The Street
Ellen Chang

Apple is Making Progress on a Big Opportunity

Apple (AAPL) is reported to have made progresss on using its watch to address an important healthcare opportunity. 

The company is attempting to develop its watch into a health monitoring tool.

Now, it has made more progress in using the device as a glucose monitor, according to a published report. 

The project would avoid pricking the skin for blood in order to test a person's glucose level and has been under under wraps for several years, sources told Bloomberg.

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Named E5, the project would benefit millions of people who have diabetes and need to monitor their glucose levels throughout the day.

Apple shifted its strategy to using a semiconductor chip tech called as silicon photonics, the article said.

The company also added a measurement process called optical absorption spectroscopy that uses lasers to send out wavelengths of light to determine the concentration of glucose under the skin while an algorithm figures out the level of glucose.

Current devices use a small blood sample by pricking the skin while Dexcom (DXCM) and Abbott Laboratories (ABT) manufacture patches that are placed into the skin, but require changing every two weeks.

A spokesperson for Cupertino, California-based Apple did not reply to a request for comment.

For the past 12 years, Apple has been working to develop a device that would be small enough for daily use, but has now entered the proof-of-concept stage, sources told Bloomberg.

A prototype could still take several more years before diabetics could replace their current options with the Apple Watch.

The tech behemoth has reportedly chosen Taiwan Semiconductor Manufacturing Co. (TSM) to manufacture the main chip that will be used for the glucose monitoring. Taiwan Semiconductor has been a long-time partner of Apple and creates the processors for iPads, iPhones and Macs.

Before choosing Taiwan Semiconductor, Apple had selected Rockley Photonics Holdings to manufacture the chip and sensors. 

Apple had previously worked with Rockley Photonics Holdings Ltd. to develop the sensors and chips for the technology. In 2021, the Pasadena, California-based company announced its partnership with Apple. 

The partnership was halted by Apple while Rockley filed for bankruptcy in January amid high levels of debt.

Apple's Trials on Glucose Checks

Apple is committed to developing a glucose monitoring component as part of its plan to transition the watch into more of a healthcare device. CEO Tim Cook, COO Jeff Williams and Apple Watch hardware head Eugene Kim are all part of the E5 project, the article said.

The iPhone and Macbook manufacturer has been open about its plans to develop the watch into a more useful tool for people to track their health. 

Since the Apple Watch was launched in 2015 with a sensor to determine a person's heart rate, more healthcare features have been added. 

In 2018, Apple added a function to take electrocardiograms from the wrist. The watch is also able to determine blood oxygen levels and also body temperature.

Hundreds of people have been part of Apple's trials testing out its glucose technology.

Engineers are working on a device that would be similar to the size of an iPhone and could be placed onto a person's bicep, Bloomberg reported.

Apple is not the only tech company who has sought to make a device to test glucose levels without being invasive. Google attempted to make contact lenses that would test glucose levels through teardrops, but that project was halted in 2018.

Last April Apple's plans to include a blood pressure monitor in the watch ran into hurdles.

People familiar with the matter told Bloomberg that the tech has been delayed to 2024 at the earliest.

Employees are still working on an update to the sensor and software that would tell a person if they have high blood pressure, according to the sources.

The testing phase has showed problems with accuracy.

Apple had been working on the blood pressure monitor for at least four years, but the additional feature may not be ready for the market until 2025, the sources said.

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