Amsterdam (Netherlands) (AFP) - Dutch electronics and medical device manufacturer Philips announced Tuesday that it had reached a "preliminary" agreement with the US Department of Justice to settle a years-long case related to a defect in devices used to treat sleep apnea.

Published on: 03/11/2026 - 08:47

For years, the company has been facing a series of crises due to the withdrawal of its Dream Station devices designed to treat sleep apnea, a disorder in which breathing stops and then resumes repeatedly during sleep.

Millions of devices were withdrawn for fear that their users would inhale particles of sound-insulating foam, amid fears that this substance might cause cancer.

The company said when presenting its results for the third quarter that it had “reached a preliminary agreement with the US Department of Justice to end the previously announced criminal and civil investigations related to (...) the withdrawal of the devices.”

Philips allocated 288 million euros ($322 million) in the third quarter of this year to settle the case, and expects to pay the amount in the first quarter of 2027.

Philips, based in Amsterdam, is famous for making light bulbs and television sets. In recent years, it has sold its subsidiaries to focus on healthcare technology.

© 2026 AFP

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