Boeing Transfers Flying Taxi Business to Archer Aviation

Boeing has decided to transfer its Wisk Aero business and other assets to Archer Aviation in exchange for a minority stake in the eVTOL company. As part of the deal, Boeing will hold nearly 20% of Archer's shares and receive warrants in the company. This move sent Archer's stock price surging by 20% on Monday, with its market capitalization exceeding $5 billion intraday.

Under the agreement, Archer will acquire Wisk Aero, air traffic software provider SkyGrid, and drone manufacturer Insitu from Boeing. The deal is expected to close by the end of 2026, at which point Boeing will retain rights to use Wisk's autonomous flight technology. Boeing CEO Kelly Ortberg stated that the transaction aims to 'accelerate capability development and time-to-market while ensuring Boeing captures returns on its investments in these technologies over the past 20 years.'

Archer Aviation is one of several startups competing to become the first company to bring air taxis to the mass market. The company plans to launch commercial eVTOL flights as early as late this year or early next year, with the goal of capturing first-mover advantage in urban air taxi services.