[Source – manufacturingtodayindia.com]
Strengthening the Partnership
Toyota Motor has announced a further investment of $500 million in Joby Aviation to support the development and commercialization of Joby’s electric air taxi. This new investment follows Toyota’s earlier contribution of $394 million, bringing the total to nearly $900 million. The funding is part of a strategic alliance aimed at facilitating Joby’s electric vertical takeoff and landing aircraft (eVTOL) production. The investment will be made through a purchase of common stock, with the first tranche set to close later in 2024 and the second in 2025.
Driving Sustainable Urban Mobility
Joby Aviation is leading the way in developing eVTOL aircraft, which are considered the future of urban air transportation. These aircraft offer a sustainable solution for overcoming modern mobility challenges by providing quicker, eco-friendly travel options. Toyota Motor North America CEO Ted Ogawa highlighted the potential of electric air taxis to address ongoing transportation issues, saying, “We share Joby’s view that sustainable flight will be central to alleviating today’s persistent mobility challenges.”
Joby is also making progress toward certification and commercialization of its electric aircraft. The company recently expanded its facilities in California, emphasizing its dedication to advancing urban air mobility.
A Deepening Collaboration
Toyota is Joby’s largest external shareholder, and both companies are collaborating closely on the project. Toyota engineers are working alongside Joby’s team in California, focusing on the development and production of key components for the eVTOL aircraft. Joby CEO Joe Ben Bevirt described Toyota’s involvement as crucial to the company’s long-term success. “This will further cement their incredible collaboration with Joby,” Bevirt said, emphasizing both companies’ commitment to revolutionizing daily transportation.
In addition to providing financial support, Toyota has signed a long-term agreement to supply essential powertrain components for Joby’s electric air taxis. This partnership is expected to play a pivotal role in shaping the future of air-based transportation.
Growing Interest in Electric Aviation
The electric air mobility sector has attracted the attention of several automakers and airlines. Stellantis, the parent company of Chrysler, recently announced an additional $55 million investment in Archer Aviation, another player in the eVTOL space. Airlines, including Delta Air Lines, are also exploring the potential of electric air taxis. In 2022, Delta invested $60 million in Joby for a 2% equity stake, with plans to offer air taxi services to airports in major cities like New York and Los Angeles.
As Joby continues to advance, its first commercial services could begin within the next few years, marking a significant milestone in the evolution of urban air transportation.
