What's Happening?
Joby Aviation, a developer of electric air taxis, has acquired Blade Air Mobility's helicopter ride-share business for up to $125 million. This acquisition includes the Blade brand and its passenger operations across the United States and Europe, excluding Blade's medical division for organ transportation. The deal provides Joby with immediate access to a network of 12 terminals in key markets such as New York City, including lounges and terminal bases at major airports and locations like Manhattan and Wall Street. Blade's founder and CEO, Rob Wiesenthal, will continue to lead the business under Joby's ownership. Joby, founded in 2009, has been developing electric vertical take-off and landing (eVTOL) aircraft for commercial taxi services and plans to integrate its software into Blade's current passenger service, eventually replacing helicopters with electric air taxis. This acquisition supports Joby's global expansion plans, starting with Dubai and beyond.
AD
Why It's Important?
The acquisition of Blade Air Mobility's ride-share business by Joby Aviation marks a significant step in the evolution of urban air mobility. By integrating Blade's established network and brand, Joby can accelerate its entry into key markets, enhancing its competitive edge in the burgeoning eVTOL industry. This move is poised to transform urban transportation, offering a sustainable alternative to traditional helicopter services. The backing of major investors like Toyota and Joby's public status since 2021 further solidifies its position as a leader in the electric air taxi sector. The transition from helicopters to electric air taxis could reduce carbon emissions and operational costs, benefiting both the environment and consumers.
What's Next?
Joby Aviation plans to integrate its eVTOL technology into Blade's existing passenger services, gradually replacing helicopters with electric air taxis. The company is holding back $35 million of the purchase price contingent on Blade meeting specific performance milestones. As Joby expands its operations, it aims to establish a presence in Dubai and other international markets, leveraging Blade's infrastructure to facilitate this growth. Stakeholders in urban transportation, including city planners and environmental groups, may closely monitor the impact of this transition on traffic congestion and air quality.
