Nikola drops $2 billion patent suit against Tesla accusing it of copying several of its patented designs

The hydrogen-powered truck startup Nikola is dropping its $2 billion patent lawsuit against rival Tesla after accusing the Elon Musk-led company intentionally copied patented design features of its tractor trailers. 

The patent lawsuit regarded the wrap-around U-shaped windshield, fuselage and side door.

According to a joint filing today in federal court in San Francisco (reviewed by Bloomberg), the companies have agreed to withdraw all claims and counter-claims against each other, three years after the initial process

Tesla denied stealing the designs and filed a counterclaim. However the lawsuit stalled last year after U.S prosecutors charged Nikola founder Trevor Milton with securities fraud, alleging he “misled investors about the company’s prospects” – which was denied by the CEO.

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Cláudio Afonso founded CARBA in early 2021 and launched the news blog EV later that year. Following a 1.5-year hiatus, he relaunched EV in April 2024. In late 2024, he also started AV, a blog dedicated to the autonomous vehicle industry.