There are many ways to make money from new aerospace tech. Some ways are better than others.Valued at $5.8 billion and with more than $1.5 billion in cash, Archer Aviation (ACHR 0.60%) is the world's second largest builder in the nascent industry of air taxis -- smaller than Joby Aviation (JOBY 0.42%), but miles ahead of Vertical Aerospace or Lilium. That's quite impressive, considering Archer was only founded in 2018, compared to Joby, which established itself in 2009.But it's not enough to make Archer Avi ...

SANTA CRUZ, Calif. & LOS ANGELES--(BUSINESS WIRE)--Joby Aviation, Inc. (NYSE:JOBY), a company developing electric air taxis for commercial passenger service, today announced a partnership with Metropolis Technologies, Inc., a leader in applied AI for the real world, to develop 25 vertiports across the United States utilizing Metropolis' extensive network of parking locations. The partnership will incorporate Metropolis' AI-based recognition technology, as well the company's extensive footprint across aviati ...

Get instant access to exclusive stock lists, expert market analysis and powerful tools with 2 months of IBD Digital for only $20! IBD Videos Archer Aviation Licenses Flying-Taxi Tech For Anduril Drones 11/18/2025Shares of Archer Aviation ticked up more than 3% on news of the deal. 11/18/2025Shares of Archer Aviation ticked up more than 3% on... INVESTING RESOURCES Take a Trial Today BREAKING: Nasdaq Leads As Stocks Open Higher Joby stock rose Tuesday, attempting to add to its weeklong rebound from long-term ...

Group 1: Company Performance - Joby Aviation, Inc. (NYSE:JOBY) experienced a significant increase of 11.3% on Monday, closing at $17.43, marking the end of a three-day losing streak due to renewed optimism in the electric vertical take-off and landing (eVTOL) industry [1][4] - Joby Aviation is recognized as one of the two leading eVTOL companies in the US, alongside Archer Aviation Inc. (NYSE:ACHR) [4] Group 2: Industry Developments - Florida announced the establishment of a new aerial test bed at the SunTrax facility in Polk County, which will feature two vertiports for eVTOL aircraft take-off and landing, aimed at attracting next-generation air transport companies [2] - The initiative is part of a broader effort in the US to develop air taxis, with Florida Governor Ron DeSantis highlighting the potential benefits of reducing road traffic through scalable and economical air transport solutions [3] Group 3: Financial Activities - Earlier this month, Joby Aviation successfully raised $591 million through the issuance of new shares, with the funds designated for certification, manufacturing, preparations for commercial operations, and general corporate purposes [4]

Core Insights - Archer Aviation has successfully won a bid to acquire Lilium's portfolio of approximately 300 advanced air mobility patent assets for 18 million euros ($20.91 million) [1] Company Summary - The acquisition is aimed at expanding Archer Aviation's capabilities in the advanced air mobility sector [1] - The deal signifies a strategic move to enhance Archer's intellectual property and technological foundation [1] Industry Summary - The advanced air mobility industry is witnessing consolidation as companies seek to strengthen their patent portfolios and technological advantages [1] - The acquisition reflects the growing competition and investment in the air taxi market, highlighting the importance of intellectual property in this emerging sector [1]

Core Viewpoint - Archer Aviation Inc (NYSE: ACHR) experienced a rally of over 10% at market open due to speculation regarding a potential partnership with Tesla Inc (NASDAQ: TSLA) [1] Company Summary - Archer Aviation Inc is an air taxi firm that is currently in the spotlight due to rumors of a collaboration with Tesla Inc [1] - The market reaction indicates strong investor interest and optimism surrounding the potential partnership [1] Industry Summary - The air taxi industry is gaining traction, with companies like Archer Aviation exploring partnerships with established players in the electric vehicle sector, such as Tesla [1] - Speculation about partnerships in this emerging industry can lead to significant market movements, as seen with Archer Aviation's stock performance [1]

Industry Development & Partnerships - Advanced Air Mobility (AAM) industry is consolidating, shifting from thousands of players to a handful, facilitating regulatory focus and infrastructure standardization [16] - Archer collaborates with potential competitors like Beta for charging equipment, fostering industry-wide ecosystem development [17][18] - The FAA's Innovate 28 initiative, selecting the LA28 Olympics, serves as a catalyst for industry-wide readiness, infrastructure development, and supply chain alignment [9][10][11] Business Model & Strategy - Archer's core business model is manufacturing and selling aircraft, with air taxi services developing over a potentially multi-decade timeline [13][14] - The company aims to showcase its aircraft by transporting VIPs, athletes, and fans during the LA28 Olympics, advertising to potential customers [12][13] - Archer intends to generate revenue and cash flow by selling aircrafts, gradually building its air taxi network [14] Technology & Operations - Archer's aircraft reached an altitude of 10,000 feet (3.05 km), demonstrating capabilities, though typical flight altitude will be between 500-1500 feet (152.4 - 457.2 meters) [6][7] - Autonomous technology is advanced, but regulatory frameworks, public acceptance, and infrastructure need further development [7][8] - Archer is developing hybrid aircraft for defense applications in partnership with Anduril, leveraging low thermal and acoustic signatures [22][23] Market & Regulatory Landscape - The FAA's regulatory framework in the US is influencing global adoption of AAM technology [3] - A US executive order accelerated the process for Archer, establishing timelines for aircraft operation in the US, targeting the following summer for initial flights [4][5] - Archer has a deal with Japan, partnering with the city of Osaka, Japan Airlines, and Sumitomo through a joint venture called Soral [2]

Core Insights - Joby Aviation Inc aims for a $10 billion market opportunity, with FAA certification expected soon and early launches planned in the U.S. and Dubai [1][3] - The company acknowledges investor concerns regarding high valuations but is outlining milestones to support its valuation [2][4] Milestones and Partnerships - Joby is in the fourth of five FAA certification stages and anticipates having FAA pilots onboard next year [5] - Commercial launches are planned in New York and Dubai to demonstrate real-world demand [5] - Joby has established partnerships with Blade Air Mobility, Delta Air Lines, and Uber to ensure passenger demand post-certification, while Toyota is aiding in mass manufacturing [4][5] Market Context - The U.S. Department of Defense has requested $9.4 billion for autonomous and hybrid aircraft in its FY26 budget, reinforcing the feasibility of Joby's $10 billion vision [3] - Joby has tested its aircraft in five countries and secured a distribution agreement in Saudi Arabia worth up to $1 billion for 200 aircraft, indicating strong international demand [5]

Core Points - The Federal Aviation Administration (FAA) is launching a pilot program to accelerate the deployment of air taxis, with participation from Archer Aviation and Joby Aviation [1][2] - The program aims to establish at least five projects through public-private partnerships to ensure the safe use of electric vertical takeoff and landing (eVTOL) aircraft [1] - U.S. Transportation Secretary Sean Duffy emphasized that this initiative marks a significant technological revolution in aviation, positioning the U.S. as a leader in transportation innovation [2] Company Involvement - Archer Aviation and Joby Aviation are key players in the eVTOL sector and have seen their shares rise following the announcement of the FAA's pilot program [1] - Archer anticipates that supervised trials could commence in the U.S. as early as next year, prior to FAA certification [2] - Joby is scheduled to begin FAA flight testing in early next year, indicating a proactive approach to regulatory compliance and market entry [2]

Core Viewpoint - The electric air taxi industry, led by companies like Joby Aviation, is experiencing significant investor interest due to its potential to disrupt urban transportation, despite Joby currently generating no revenue and facing high cash burn rates [1][5][12]. Company Overview - Joby Aviation is a leader in the electric vertical takeoff and landing (eVTOL) market, with stock prices rising over 100% in 2025, recently surpassing an all-time high of $17.50 per share [1][2]. - The company is working with major partners like Delta Air Lines and Uber Technologies to develop point-to-point air taxi networks in cities such as Los Angeles, New York, and Dubai [4][5]. Market Potential - The potential market for electric air taxis is substantial, with around 100 metropolitan areas globally having populations over 5 million, many of which suffer from severe traffic congestion [11]. - Joby Aviation's market capitalization is approaching $15 billion, reflecting investor excitement about the future demand for air taxi services, despite the company currently generating zero revenue [5][12]. Production and Financials - Joby Aviation is heavily investing in research and development, spending over $135 million in the last quarter alone, while also facing a negative free cash flow of nearly $500 million over the past year [8][9]. - The company has a long production timeline, with plans to ramp up manufacturing after receiving FAA approval, but currently can only produce 24 electric air taxis per year, indicating a slow scale-up [6][7]. Challenges and Risks - Joby Aviation's business model is characterized by high cash burn and low margins, making it challenging to achieve profitability even if revenue grows significantly in the future [12][13]. - The company will likely need to continue fundraising to support its operations, with around $1 billion in cash available, including commitments from Toyota [9][12].