Courtesy of Archer Aviation
Less than a year after coming out of stealth, the California-based electric air taxi developer Archer Aviation has struck a deal to go public in a reverse merger with a special purpose acquisition vehicle — and it’s also won a $1 billion order for up to 200 its yet-to-fly aircraft from United Airlines, in the first step by an airline into urban air mobility.
Archer has agreed to merge with Atlas Crest Investment Corp., a $500 million SPAC led by investment banker Ken Moelis, the companies announced Wednesday. United is also investing an undisclosed amount in an accompanying PIPE offering that will raise $600 million, resulting in $1.1 billion in funding for Archer, which will trade on the New York Stock Exchange, with a valuation of $3.8 billion.
One of the big questions facing the scores of startups attempting to develop electric vertical takeoff and landing aircraft to ferry commuters around cities has been where they’re going to get the billions they’ll need to bring their EVTOL prototypes through the demanding and lengthy safety certification process and to build up the manufacturing muscle to produce the thousands of aircraft they’re envisioning.
United described the deal as part its efforts to embrace emerging technologies to decarbonize air travel. The airline intends to use the air taxis to shuttle customers to and from its hub airports, as well as to enable commuting by air around the metro areas it will operate in. United estimates that EVTOL aircraft could reduce carbon dioxide emissions by 47% per passenger on a trip between Hollywood and Los Angeles International Airport – L.A.
Forbes, you do realize an airport is surrounded by live runways (planes landing and taking off). So how in the hell is an air taxi supposed to safely get to a busy airport without causing an air collision?
They need $ASTI solar film on this to make it perfect 🔥🚀🚀🚀
Here’s why flying cars won’t work... 1) skyscrapers, tall buildings & power-lines 2) no infrastructure or regulation 3) stupid idea in the first place 🥇...
Where does the air taxi pick one up? It just lands on the street?
Pass
They certainly need to differentiate themselves from the existing Helicopter Taxi services. The value is totally the same as of now. This should become a second failure of mobility revolution.
Behold the future of transportation.