Tesla scored a win at the UK Supreme Court on July 27, reviving its fight over the licensing terms for patents needed to roll out 5G-enabled vehicles in Britain — and the decision has ripple effects that crypto investors should note, even if it doesn't touch the company’s digital-asset holdings.
What happened
- The Supreme Court overturned earlier rulings that had blocked part of Tesla’s 2023 lawsuit against InterDigital and Avanci. Tesla had asked an English court to decide whether the platform licence rate for standard-essential patents met FRAND (fair, reasonable and non-discriminatory) obligations.
- At the time Tesla filed its claim, Avanci’s 5G platform licence was priced at $32 per vehicle. Tesla argued that rate was not FRAND.
- The Supreme Court concluded patent owners can’t sidestep FRAND obligations simply by putting patents into a pool or licensing platform. That decision sends Tesla’s FRAND claim back to the High Court for a full hearing; it does not set the final licence price.
Legal background and next steps
- Tesla’s initial 2023 claim in the High Court sought a FRAND determination; that request was dismissed in 2024 while other challenges to the validity of three InterDigital patents were allowed to proceed.
- Tesla appealed; the Court of Appeal largely upheld the lower court, prompting Tesla to take the matter to the Supreme Court. Industry groups including the Computer & Communications Industry Association and the Motion Picture Association intervened in support of Tesla’s appeal.
- Avanci said it “respectfully disagree[s]” with the ruling and believes Tesla’s claims are without merit, according to Reuters.
- The legal fight now returns to the High Court and could take time to resolve. The final outcome will determine whether and on what terms Tesla can use the pooled 5G patents in vehicles sold in England and Wales. The ruling applies to proceedings in England and Wales and does not change US patent law, even though both companies are American.
Market reaction
- Tesla shares ticked up about 0.98% to $316.10 in premarket trading after the decision (Yahoo Finance), but the gain didn’t hold. By later on July 27 TSLA traded near $309.10, roughly 1.2% below the previous close, moving between $304.28 and $317 intraday.
Why crypto readers should care
- The UK patent victory advances Tesla’s connected-car plans — a building block for features that could intersect with crypto and Web3 (payments, in-car wallet services, streaming and data monetization). But the ruling does not affect Tesla’s current crypto posture.
- Tesla’s digital-asset holdings remained unchanged through Q2 2026: the company reported holding 11,509 BTC and neither bought nor sold Bitcoin in the quarter ended June 30. Falling crypto prices produced a $112 million after-tax loss on Tesla’s digital assets during that period. Bitcoin traded near $83,000 at the beginning of the quarter and fell as low as $58,000 in late June, reducing the reported value of Tesla’s holdings without prompting sales.
Dogecoin and payments
- CEO Elon Musk has floated the idea that Tesla could eventually accept Dogecoin for cars, but that has not been implemented. Today, Tesla only accepts DOGE for eligible merchandise at the Tesla Shop.
Bottom line
The Supreme Court’s decision clears an important procedural hurdle for Tesla’s challenge to Avanci’s $32-per-car licensing terms, bringing a FRAND determination back to the High Court. The ruling may shape how Tesla deploys 5G in UK vehicles — an infrastructure element relevant to future in-car crypto or payment features — but it does not change Tesla’s current Bitcoin holdings or its limited use of Dogecoin for merchandise purchases.
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