Archer Aviation Trades Stake for Boeing Subsidiaries

Archer Aviation and Boeing have announced a strategic partnership that will benefit both companies. Archer will acquire three key subsidiaries from Boeing in exchange for a 19.75% stake in its eVTOL business. The deal diversifies Archer's operations, reduces risk, and brings in much-needed revenue.

The acquired businesses include Wisk, which focuses on autonomous eVTOLs within a transportation-as-a-service model; SkyGrid, an air traffic management solution that supports autonomous and piloted air mobility; and Insitu, a designer and manufacturer of uncrewed aircraft systems with over $200 million in annual revenue.

For Archer, the deal accelerates technological development, provides infrastructure advantages, and removes a potential rival. Boeing, on the other hand, benefits from the sale by receiving a significant stake in Archer's eVTOL business, worth around $930 million at current valuation.