The Japanese car manufacturer Toyota increases its investment in the US air taxi start-up Joby Aviation by $500 million, expanding its stake to over 20 percent. This move is part of a comprehensive strategic alliance intended to support the company in commercializing its air taxis and scaling production. With this, Toyota is betting on the future market of urban air mobility.
Joby Aviation, founded in 2009 and listed on the New York Stock Exchange in 2021, is developing so-called "electric vertical take-off and landing" aircraft (eVTOL), which are intended to enable emission-free urban air mobility. The company plans to launch its first commercial service next year in Dubai. The new investment raises Toyota's total commitment to nearly 900 million US dollars.
We look forward to working with Toyota to truly scale this new transportation model," explained Joby founder and CEO JoeBen Bevirt. The new capital commitment from Toyota will be made in two tranches and is based on an almost seven-year collaboration between the two companies. Toyota is already the largest external shareholder of Joby and will further expand its shares with the latest investment.
The production partnership is crucial for Joby as many other eVTOL start-ups have been forced to seek additional funding and delay certification targets in recent months. However, Joby is in a better financial position than many competitors and had already raised more than $2 billion before the new investment from Toyota.
Joby is the first eVTOL company to have its certification plans recognized by the US aviation authority FAA and is now working on full approval. A pilot production facility in Marina, California, is already operational, and the company plans to reach a production capacity of one aircraft per month by the end of the year.
Air mobility has the potential to fundamentally change the way people move and live. This commercialization has always been a dream of Toyota," the company said in a statement.
Toyota's Involvement in Aviation Goes Back a Long Way
