Saturday, July 27, 2024

Archer Aviation Secures Significant Investment Agreement with Abu Dhabi to Boost Air Taxi Operations

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Archer Aviation has announced a major framework agreement with Abu Dhabi, unveiled at the DRIFTx mobility event in the UAE capital. This agreement signifies a significant step forward in accelerating Archer’s planned commercial air taxi operations in the region, with a targeted launch as early as next year.

The agreement, valued at hundreds of millions of dollars, covers various aspects crucial to Archer’s expansion, including in-country manufacturing, operational setup, and training facilities across the UAE. Notably, Abu Dhabi’s commitment positions the emirate at the forefront of advancing urban air mobility, with plans to kick off air taxi operations utilizing Archer’s Midnight aircraft as soon as late 2025.

Archer’s collaboration with the Abu Dhabi Investment Office (ADIO) spans vertiport construction, operational support for air taxi services, and local manufacturing of the Midnight aircraft. Additionally, ADIO will spearhead workforce development initiatives for Emirati talent and facilitate the establishment of Archer’s international headquarters and Center of Excellence in Abu Dhabi.

“This substantial agreement with Abu Dhabi is a pivotal moment for Archer’s commercialization efforts across the Emirates, as it provides the catalyst to accelerate the launch of our electric air taxi service in the UAE as soon as late 2025,” noted Archer’s founder and CEO, Adam Goldstein, emphasizing Abu Dhabi’s commitment to becoming a global urban air mobility hub.

Badr Al-Olama, Director General of ADIO, echoed this sentiment, stating, “Abu Dhabi is leading the way in accelerating the launch of electric air taxis globally, and ADIO is proud to partner with Archer as one of the world’s most innovative companies.” Al-Olama expressed excitement about supporting Archer in establishing its international headquarters in Abu Dhabi, highlighting the comprehensive investment framework that will drive manufacturing and operational progress for the Midnight aircraft in the UAE.

Under the agreement, ADIO will collaborate with Archer and other air taxi operators to develop vertiports in key locations throughout Abu Dhabi, bolstering the urban air mobility infrastructure essential for Archer’s operational scale-up.

The memorandum of understanding between ADIO and Archer was initially announced at the launch of ADIO’s Smart and Autonomous Vehicles Industry (SAVI) cluster in 2023, which aims to revolutionize urban mobility globally. The framework agreement, announced at DRIFTx, is the result of six months of intensive collaboration between the two entities.

Archer is committed to revolutionizing urban travel, aiming to replace lengthy car commutes with 10- to 20-minute electric air taxi flights that are safe, sustainable, low-noise, and cost-competitive. The piloted, four-passenger Midnight aircraft is designed for rapid back-to-back flights with minimal charge time between trips.

With the support of early investor Mubadala, UAE’s sovereign wealth fund, as well as partner operators Falcon Aviation and Air Chateau, and GAL-AMMROC, Archer is well-positioned to accelerate its progress in the region.

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