FAA Grants Archer Aviation Approval to Commence Commercial Air Taxi Operations

Archer Aviation has received the green light from the U.S. Federal Aviation Administration (FAA) to begin commercial air taxi services, marking a significant milestone for the company and the electric vertical takeoff and landing (eVTOL) industry. The FAA’s approval, known as Part 135 Certification, positions Archer as the second eVTOL company to secure this crucial regulatory endorsement.

Despite the ongoing challenges facing the eVTOL industry, including technological hurdles like battery density, the approval sparked a positive response in the stock market, with Archer Aviation’s shares climbing 3% in morning trading. The Santa Clara, California-based company, which boasts backing from major players such as Stellantis, Boeing, and United Airlines, announced its plan to initially utilize conventional aircraft to fine-tune its systems and procedures.

While Archer’s flagship eVTOL aircraft, “Midnight,” still awaits Type Certification to meet the FAA’s design and safety standards, the company remains optimistic about its future in transforming urban travel. The goal is to offer a viable alternative to ground transportation in densely populated cities through short-haul air travel.

This regulatory advancement comes at a time when the industry has seen fluctuating investor confidence, with Archer’s shares down 47% for the year, highlighting the market’s cautious stance on the nascent eVTOL sector. Nevertheless, the commitment from significant investors like Stellantis, which recently increased its stake in Archer, underscores a strong belief in the long-term potential of urban air mobility solutions.

Sources: AirGuide Business airguide.info, bing.com, reuters.com