Flying Taxis Are Almost Here: Joby, Archer Aviation Applaud New FAA Regulations For eVTOL Aircraft

Zinger Key Points
  • eVTOL aircraft are powered by electricity and take off and land vertically, like helicopters.
  • Once airborne, eVTOL aircraft use tilt rotors which transition into forward flight mode, like fixed wings on an airplane. 

Flying taxis could soon be a reality in the U.S. after the Federal Aviation Administration (FAA) issued a final rule on Tuesday that establishes a new category of aircraft called “powered lift.” 

The Details: The FAA's powered lift category applies to electric vertical takeoff and landing (eVTOL) aircraft, commonly known as "air taxis" and marks an important step towards bringing eVTOLS into U.S. airspace. 

eVTOL aircraft are powered by electricity and take off and land vertically, like helicopters.  Once airborne, eVTOL aircraft use tilt rotors which transition into forward flight mode, like fixed wings on an airplane. 

"Powered lift aircraft are the first new category of aircraft in nearly 80 years," FAA administrator Mike Whitaker said in a statement. "This historic rule will pave the way for accommodating wide-scale Advanced Air Mobility operations in the future."

Read Next: Friday’s Top 5 Trending Stocks: What’s The Scoop On Tesla, SoFi, Joby?

The regulatory development has been welcomed by leading eVTOL aircraft developers who aim to bring air taxis to reality in the U.S, including Joby Aviation, Inc. JOBY and Archer Aviation, Inc. ACHR

Why It Matters: Archer Aviation released a statement applauding the FAA final rules, which the company described as "the key operational piece of the regulatory puzzle" to allow the company to proceed with its plans for safely commercializing eVTOL air taxis in the U.S.

“We applaud the FAA on the release of the SFAR ahead of schedule as it represents a tremendous milestone for our country and the eVTOL industry. Now, Archer has a clear roadmap to pioneer eVTOL here in the U.S. Our team is full speed ahead in our ongoing partnership with the FAA as we work towards commercialization as soon as possible,” said Adam Goldstein, CEO of Archer.  

Archer intends to launch commercial air taxi operations in 2025 in the New York City market with planned routes between the three area airports and Manhattan. The company also plans to launch air taxi services at Newark International Airport and Chicago’s O’Hare International Airport and an air mobility network in the Los Angeles area in 2026. 

Joby Aviation also released a statement about the new FAA regulations which said "lays the groundwork necessary for Joby to launch commercial passenger service in the U.S."  

Joby targeted 2025 for full FAA certification of its aircraft and its planned launch of commercial passenger service. Joby has signed a partnership with Delta Air Lines, Inc. DAL to operate “home-to-airport” air taxi flights in New York City and Los Angeles, also expected to commence in 2025. The company projects to have a rideshare fleet of 850 aircraft, conducting 40 flights per aircraft per day, by 2026. 

The eVTOL industry could potentially revolutionize transportation, and offer new possibilities for passenger transport, cargo delivery and emergency services in both urban and rural areas. The FAA's new regulations provide a regulatory path toward safe and convenient commercial air taxi services. 

"The FAA will continue to prioritize the safety of our system as we work to seamlessly integrate innovative technology and operations," said FAA Administrator Whitaker

Read Also: 

Photo: Courtesy of Archer Aviation, Inc. 

Market News and Data brought to you by Benzinga APIs
Comments
Loading...
Posted In:
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!