I still haven’t seen a full explanation of exactly why it was updated to work this way. The assumption is that it’s to work around the patents, but the patents still seem to cover this same method. The ruling has been mentioned, but I’m not sure what about the ruling changes things in this way. I don’t understand why it was allowed to come back like this but not as it was.
With regard to settling, my understanding is that on Masimo’s list of settlement demands is a written, public apology for infringing on their technology. I believe, and this is speculation, that this is the bridge too far for Apple. As I recall, Masimo thought they had a deal with Apple for the technology and that Apple broke that deal and went ahead without them, and they feel personally insulted.
With regard to the functionality coming back, on my S10 as soon as I opened the app immediately after updating, the “not available” screen flashed up then immediately went away to be replaced by the new instructions.
Which brings me back to why I find this new method strange. It’s more or less functionally equivalent, just that it doesn’t show the result on the watch. Maybe they always intended to start doing it this way and just weren’t able to implement it.