Archer Aviation and global manufacturer Stellantis have expanded their relationship, with Archer Aviation receiving access to up to $150 million in additional finance over the next two years and Stellantis mass producing an electric vehicle take-off and landing aircraft.
As of Wednesday, during CES 2023 in Las Vegas, Stellantis will be Archer’s exclusive contract manufacturer for the Midnight eVTOL.
Starting in2020, Stellantis and Archer Aviation will work together, with Stellantis providing Archer Aviation with access to its worldwide supply chain and other expertise. Stellantis and the aviation startup entered into a new partnership agreement in February 2021. In the same month that Archer declared its intention to go public, it merged with a firm whose sole aim was to acquire businesses for the purpose of going public.
The news that was dropped on Wednesday goes much beyond a simple partnership. Stellantis is helping Archer by giving funding and manufacturing knowledge, and the carmaker has also stated that it would contribute in the development of Archer’s newly announced manufacturing site in Covington, Georgia. The Midnight aircraft is scheduled to enter production at the plant in 2024.
The Midnight aircraft, with its 100-mile range, is ideal for use in congested areas where the typical distance covered is less than 20 miles. The plane can transport four people including the pilot, for a total of five people. The plane has a cargo capacity of over a thousand pounds.
This past December, the FAA published in the Federal Register its proposed Airworthiness Criteria for the Midnight aircraft, marking a significant step toward the commercialization of urban air mobility. Archer has stated that it aims to employ Midnight as part of its Urban Air Mobility network beginning in 2025 when it receives FAA certification for the technology in late 2024.
Stellantis announced it intends to enhance its strategic investment in Archer by future purchases of stock on the open market.
Subtly charming pop culture geek. Amateur analyst. Freelance tv buff. Coffee lover