Tesla, Inc and another v InterDigital Patent Holdings, Inc and others; Tesla, Inc and others v InterDigital Patent Holdings, Inc and another No 2

Facts

Tesla, Inc, a Texas company, and its English subsidiary Tesla Motors Ltd wished to launch 5G-enabled vehicles in the United Kingdom, their fourth largest market. Implementing the 5G standard set by the European Telecommunications Standards Institute requires licences under standard essential patents, whose owners give an irrevocable undertaking under the ETSI IPR Policy to license on fair, reasonable and non-discriminatory (FRAND) terms. Avanci, a Delaware company, operates the Avanci 5G Platform, launched in August 2023, through which over 65 Licensors — including InterDigital — offer a single global licence on pre-set terms; Avanci owns no SEPs and has given no FRAND undertaking. Tesla, having earlier taken an Avanci 4G platform licence, considered the 5G rack rate far above FRAND and in December 2023 brought proceedings seeking revocation of three UK patents owned by IDPH (the Patent Claims) and declarations as to the FRAND terms of a platform licence (the Licensing Claims). InterDigital and Avanci challenged jurisdiction. Fancourt J held there was no serious issue to be tried on the Licensing Claims, struck them out, set aside service, and held the Delaware Court of Chancery an available forum. The Court of Appeal, Arnold LJ dissenting, dismissed Tesla's appeal.