Page 5 - AAA NOV / DEC 2024 Digital Magazine | GBP

Make or Break Time

A significant decrease in funding for the advanced air mobility sector
challenges eVTOL companies that are getting close to commercialization

By Arun Sivasankaran

024 would be regarded The heartbreak comes at a time in different regions as the com-
as something of a water- when the first two Lilium Jets are pany had signed partnerships
2 shed year for the fledgling currently on the final assembly not only in Europe but also coun-
advanced air mobility (AAM) line, with the first aircraft having tries such as the U.S., China,
sector. completed the initial low-voltage Brazil, Austria, Saudi Arabia and
power-on milestone and due to Cambodia. In March 2024, Lilium
While 2022 and 2023 provided advance shortly into the ground had unveiled its plans for a cen-
plenty of signs that funding for testing phase. The fuselage and tral European regional network of
the sector had come down sig- wings of the third aircraft are services, stretching from Venice
nificantly from its US$6.8 billion currently in assembly at aero- to Frankfurt. It also had signed
2021 peak, reality hit home this structures suppliers Aciturri and an agreement with ASL Group for
year. On Oct. 24, German air- Aernnova. Last month, com- the sale of 60 Lilium Jets and the
taxi maker Lilium, which has firm pany engineers moved a fully development of a network of land-
orders, reservations, options, and assembled, conforming Lilium Jet ing sites in the Benelux countries,
memoranda of understanding for airframe into the static test rig for In May 2024, Lilium joined other
more than 780 Lilium Jets to oper- structural testing. The company companies in announcing plans to
ators in the U.S., South America, is working towards certification bring Lilium Jet flights to the South
Europe, Asia, and the Middle from the EASA and FAA, and of France starting in 2026.
East, filed for insolvency for its had announced plants to deliver
two German subsidiaries – Lilium eVTOLs to customers in 2026. In November 2020 Lilium signed
GmbH and Lilium eAircraft GmbH. an agreement with Tavistock
The company has since hired con- Impact on All Regions Development Company, and
sultancy KPMG to explore merger The setback faced by the com- the City of Orlando to develop a
and acquisition options. pany will impact AAM projects network of vertiports and eVTOL

ASIAN AIRLINES & AEROSPACE NOVEMBER - DECEMBER 2024 | 5