Shift Magazine - May 2021 - 8

Aeromotive? Autoviation?
Two stalwart industries
are converging around
transportation technology

FLYING IN
TIGHT FORMATION
S

BY PETE BIGELOW

even decades after the last
aircraft rolled away from the
assembly lines, the industrial
might displayed at the Willow
Run bomber plant remains a point of automotive pride.
At the height of World War II, a B-24
Liberator emerged from the Ford Motor
Co. factory in Ypsilanti, Mich., every 63
minutes, a frenetic pace unmatched by
America's aircraft manufacturers of the
era. Willow Run produced 8,685 bombers
by the end of the war, a number that underscored the power of Ford's mass-production techniques in aviation applications.
But the lessons haven't been relegated
to history. Now, there are increasing signals
the two industries are converging again.
Flying taxis will emerge as a $150 billion
industry over the next 15 years, according
to business research firm PitchBook. More
than 100 startups exist in the urban air mobility space now, and some of the best-funded
companies are seeking automotive partners
to transform high hopes into tangible fleets.
" Historically, there hasn't been demand
for a high volume of aircraft, " said Adam
Goldstein, co-founder and co-CEO of
Archer Aviation Inc., an urban air mobility company in Mountain View, Calif.,
that partnered with Stellantis this year.
" Boeing builds hundreds of planes a year,

S008_S010_AN_20210524.indd 8

BLOOMBERG

Hyundai's urban air mobility division is
exploring flying taxis and travel hubs.

right? Nobody has demanded 50,000 aircraft a year from anybody. But now you
have a product that's affordable to the
masses, and there's a potential demand
scenario here for these vehicles. "
Archer aims to start volume manufacturing of its Maker electric vertical takeoff
and landing, or eVTOL, aircraft in 2023.
Stellantis engineers have collaborated
with the startup on cockpit design, and
while the specifics are not yet clear, the
two companies say Archer will benefit
from access to the auto giant's supply
chain and further resources.
Unlike during World War II, it's no longer
only manufacturing prowess and supply
chain reliability driving the intertwining
of aviation and automotive. Advances
in electrification, autonomous systems
and lightweight materials plus the rise

of ride-sharing networks are spurring
changes across transportation modes.
In urban air mobility applications, they're
poised to unlock operational, financial and
noise-related advantages over current-day
helicopters.
General Motors CEO Mary Barra spotlighted the potential for cross-pollination of
core technologies last September, when she
said the " flexibility " of the company's new
Ultium battery system " opens the doors for
many use cases, including aerial mobility. "

SPACS HAVE CONNECTIONS

Others have made deeper commitments. Toyota Motor Corp. invested $394
million in Joby Aviation in January 2020.
As with Stellantis and Archer, the automotive veteran and air mobility startup are
working together on vehicle development
and manufacturing plans.
Last year, Hyundai Motor Group started
its own urban air mobility division, which
is exploring not only flying taxis but also
new hubs on the ground to connect passengers traveling via multiple modes.
Archer and Joby are two of three eVTOL
companies that have announced plans to
go public via mergers with special-purpose
acquisition companies so far in 2021, at valuations of $2.7 billion for Archer and $6.6
billion for Joby. A third, German air taxi
startup Lilium, has plans for such a merger
with Qell Acquisition Corp., a blank-check

5/14/21 7:14 PM

https://www.autonews.com/mobility-report/gm-signals-interest-air-mobility-will-such-projects-fly https://www.autonews.com/mobility-report/gm-signals-interest-air-mobility-will-such-projects-fly

Shift Magazine - May 2021

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