by Donald Wood
Last updated: 10:44 AM ET, Thu August 11, 2022
Archer Aviation announced on Wednesday it received a $10 million pre-delivery payment from United Airlines for 100 of the company's initial production eVTOL aircraft.
United made the deposit on 100 of Archer's production aircraft as part of a deal struck in 2021, with the eVTOL recently completing its Preliminary Design Review (PDR) and advancing to the next stage of development and commercialization.
The carrier's decision to place a pre-delivery cash deposit for 100 of Archer's air taxis signals its desire to be one of the first airline operators in the United States to bring eVTOL to market.
United previously formed a Joint eVTOL Advisory Committee with Archer, allowing the parties to work more closely on maintenance and operational matters. Committee members include the airline's maintenance, materials and engineering groups.
"I am incredibly proud of the entire Archer team as we reach this milestone in our partnership with United Airlines," Archer CEO Adam Goldstein said. "To receive a cash deposit is validation of Archer's achievements to date, not only with flight testing and product development, but also a great signal of confidence in our roadmap to commercialization."
"We're thankful to United for their continued partnership as we usher in this new era in air travel," Goldstein continued.
United Airlines Ventures president Michael Leskinen told PhocusWire.com said the payment demonstrates its "commitment to eVTOL technology," which will assist the company in prioritizing climate-friendly technology.
Electric air taxis "have the potential to both help achieve carbon-neutral travel and serve as an innovative new tool to change how United customers experience comfort, convenience and efficiency during their commutes within cities across the globe," Leskinen says.
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