Archer Aviation's 2025 Progress Was Real -- But the Hardest Part Still Lies Ahead

Core Insights - Archer Aviation made significant progress in 2025, transitioning from concept to execution in the eVTOL market, but it is still in the pre-commercial phase [2][4][16] Progress and Achievements - The company advanced flight testing of its Midnight aircraft, ramped up early-stage production, and progressed in the certification process with the FAA, indicating a shift from engineering theory to operational reality [4][5] - Archer raised over $2 billion in cash and cash equivalents by the end of Q3 2025, strengthening its balance sheet in a capital-intensive industry [8][10] - The company expanded its international focus, particularly in the Middle East, through its "Launch Edition" program, which included in-country testing and early commercial arrangements [11][12] Risks and Challenges - Archer still needs to obtain full FAA certification, scale manufacturing, and launch safe commercial operations, all of which carry execution risks [14][16] - Competition is intensifying, with rivals like Joby Aviation advancing in certification and potentially reaching commercialization sooner [15][16] Investor Considerations - Archer is categorized as a high-risk, high-upside investment, with the next 12-24 months being critical for proving its ability to transition from ambition to a functioning aviation business [17]