Effectively Obama has rewarded the antics of a patent troll which actually claimed it invented the rounded rectangle while taking no steps to protect Samsung from Apple's own trolling antics.
Victory by Samsung would have protected it from the iPhone 4 and some iPads entering the US from China if they used technology which the patent office and several judges ruled stole the company's ideas.
According to the China Post, it is the first time since 1987 that a president has interfered with an ITC order.
"This is an important element of the Administration's policy of promoting innovation and economic progress," the White House statement said.
The question is what Obama has done to stop Apple in its patent trolling - the company's late CEO Steve Jobs famously said a "thermonuclear war" would be waged against the competition.
The veto means Apple will be free to continue importing and selling those devices in the US, but the White House said that the veto in no way addresses the legal merit of Samsung's claims.
"My decision to disapprove this determination does not mean that the patent owner in this case is not entitled to a remedy. On the contrary, the patent owner may continue to pursue its rights through the courts."
Obama's administration wants to see itself as trying to shut down the use of import bans as a weapon for patent trolls. Instead he has indicated that the White House will to prevent the ITC from awarding product bans in the future in cases involving standards-essential patents. But it is not clear if this will apply to non-American companies.
Samsung is furious with the situation as the White House has effectively taken away its bargaining chip to stop Jobs' Mob doing the same trick to it.
A spokesperson said that the ITC's decision recognised that Samsung has been negotiating in good faith and that Apple remains unwilling to take a licence.
Apple, on the other hand, really rubbed it in. Apple invented everything and all rivals will be exterminated.
In the worst case of hypocrisy we have ever seen from a company, an Apple spokesperson: "Thanks to the Administration for standing up for innovation in this landmark case. Samsung was wrong to abuse the patent system in this way".
Apple, of course, is known to never abuse the patent system by trolling its rivals off the shelf.