Archer Aviation, a leading developer of Electric Vertical Takeoff and Landing (eVTOL) aircraft, is expanding its global reach with a new partnership in South Korea. The company has announced a collaboration with KaKaoMobility, Koreaâs leading mobility-as-a-service provider, to participate in the countryâs Grand Challenge and introduce eVTOL travel to the region.
Archer Aviation has gained significant momentum in the eVTOL space, with airworthiness certification from the FAA and investments from major players like United, Stellantis, and the US Air Force. The company has already made strides in expanding its operations beyond its California headquarters, including launching air taxi services in the United Arab Emirates.
The partnership with KaKaoMobility marks Archer’s latest move to bring advanced air mobility (AAM) to new markets. As part of the agreement, KaKaoMobility will pay Archer $7 million in 2024 to begin developing and establishing commercial eVTOL operations in Korea, with a second payment expected in early 2025. Additionally, KaKaoMobility has the option to purchase up to 50 Archer Midnight eVTOLs, valued at approximately $250 million.
Nikhil Goel, Archer’s chief commercial officer, highlighted the significance of the partnership, stating, “Archer is expanding its international launch strategy to South Korea through this landmark partnership between Archer Aviation and KakaoMobility. Together, we are committed to revolutionizing transportation with Archerâs eVTOL aircraft, ushering in a future of cleaner, faster, and more efficient travel between and within Korean cities.”
The partnership will also see Archer and KaKaoMobility participate in the K-UAM Grand Challenge, a public-private demonstration aimed at showcasing the potential of eVTOL technology in Korea. The demonstrations, scheduled to take place in late 2024, will be held alongside South Koreaâs Ministry of Land, Infrastructure and Transport (MOLIT), which has expressed support for commercializing urban air mobility (UAM) by the mid-2020s.
KaKaoMobility plans to own and operate Archerâs eVTOL technology in South Korea, offering air taxi rides to its 30 million app users as early as 2026. The service is expected to start in Seoul, where the average commuter spends approximately 90 minutes per day stuck in road traffic.
Archer and KaKaoMobility are aiming to conduct public demonstration flights in Korea by late 2024, with the K-UAM Grand Challenge currently accepting applicants for a demo event scheduled for December.