What's Happening?
Hyundai's electric air taxi startup, Supernal, has paused its aircraft program following the departure of its CEO, Jaiwon Shin, and CTO, David McBride. The company, which was spun out of Hyundai Group in 2021, has faced a challenging period marked by staff cuts and the closure of its Washington, D.C. headquarters. Supernal had been working towards its first untethered test flight and planned to launch a commercial service by 2028. The newly appointed leadership will reassess the timeline for the program's continuation. This pause comes amid broader industry upheaval, with some startups thriving and others, like Lillium, going out of business.
Why It's Important?
The pause in Supernal's program highlights the volatility in the nascent electric air taxi industry, which is seen as a future cornerstone of urban mobility. The departure of key executives and the subsequent program halt could impact Hyundai's strategic position in this emerging market. As other companies like Joby continue to secure partnerships and funding, Supernal's struggles may affect investor confidence and the pace of innovation in the sector. The situation underscores the challenges faced by startups in scaling operations and achieving technological milestones in a competitive environment.
What's Next?
Supernal's interim COO, David Rottblatt, is overseeing business operations during this transition. The Hyundai Group plans to appoint new leadership with expertise in business operations to advance Urban Air Mobility solutions. The industry will be watching closely to see how Supernal navigates this period and whether it can regain momentum. Stakeholders, including investors and potential partners, will be keen to understand the revised timeline and strategic direction under new leadership.
