Page 32 - AAA MAY / JULY 2024 Digital Magazine | GBP
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An Operator’s Guide to Buying AAM Aircraft



         OEMs face multiple challenges including securing financing

                                    and extending cash runways

                       Alan Lim, Director, Alton Aviation Consultancy



            he focus over the past few                                          services, and utility services
            months has been about                                               (agricultural, industrial).
        T AAM vehicle certification
        – not just hybrid and electric                                          The different design, config-
        VTOL (Vertical Takeoff and                                              uration, and powertrain used
        Landing) aircraft, but electric                                         for each aircraft will lead to a
        CTOL (Conventional Takeoff and                                          wide range of performance
        Landing) aircraft as well. Apart                                        capabilities. Depending on an
        from overcoming certification                                           operators’ business model and
        hurdles, OEMs face multiple                                             choice of use case / mission, the
        challenges including securing                                           importance of range, payload,
        financing and extending cash                                            infrastructure requirements, and
        runways, ensuring holistic infra-                                       operating cost will be different.
        structure support, and finding
        customers to buy their aircraft.                                        Range – Operators will need to
        While all eyes are on the OEMs,     Aircraft Selection                  consider the amount of flexibility
        operators, as buyers of the         Considerations                      in range they require, which will
        aircraft, need to come into focus                                       depend on the types of missions
        as well. Operators need to make     The most common use cases           that the aircraft will be deployed
        AAM aircraft selection decisions    currently being explored by         on.
        from over a thousand AAM con-       OEMs and operators for AAM          A shorter-ranged, all-electric air-
        cepts in the market. Financing      vehicles include passenger          craft can only be used on urban
        these purchases would be            transportation (both urban and      air mobility missions, last mile
        another key decision operators      regional air mobility), freight /   parcel deliveries, and some util-
        will have to make thereafter.       logistics services, air medical     ity missions. Hybrid aircraft and

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