Technology & Innovation
Joby Aviation Acquires Blade Passenger Business to Boost Urban Air Mobility
Joby Aviation buys Blade’s passenger unit for $125M, merging eVTOL tech with Blade’s network to accelerate urban air taxi services.
Joby Aviation’s agreement to acquire Blade Air Mobility’s passenger business for up to $125 million marks a watershed moment for the urban air mobility (UAM) sector. This transaction unites Joby’s advanced electric vertical take-off and landing (eVTOL) technology with Blade’s established passenger infrastructure, creating a vertically integrated platform poised to accelerate the commercialization of air taxi services in major metropolitan markets. The acquisition also signals a strategic realignment, with Blade shifting its focus to medical logistics under the new Strata Critical Medical brand. As the urban air mobility industry matures, the deal illustrates the growing importance of operational scale, infrastructure, and regulatory momentum in shaping the next generation of transportation.
The significance of this acquisition extends beyond the financial terms. By combining Joby’s technological prowess and manufacturing pipeline with Blade’s customer base, terminals, and operational expertise, both companies are positioning themselves to capitalize on the increasing demand for sustainable, efficient urban transport. The move also highlights the broader trend of convergence between aviation technology firms and mobility service providers, a trend that is expected to accelerate as eVTOL certification and regulatory frameworks advance.
This article explores the background of both companies, details of the acquisition, recent developments in the UAM sector, expert perspectives, and the global context that frames this landmark deal. Through a neutral and fact-based analysis, we aim to provide a comprehensive understanding of the implications for industry stakeholders and the future of urban air mobility.
Founded in 2009 by JoeBen Bevirt, Joby Aviation has become one of the most prominent names in the eVTOL space. The company’s flagship aircraft is designed to carry four passengers and a pilot, offering speeds of up to 200 mph and a focus on quiet, emissions-free operation. Joby’s vision is to make air taxi services accessible in congested urban environments, reducing travel times and carbon footprints. The company went public in 2021 via a SPAC merger, attracting investment from notable partnerships such as Toyota and Uber, and has established collaborations with the U.S. Air Force for dual-use applications of its technology.
Joby’s approach emphasizes both manufacturing and operational excellence. The company is actively pursuing FAA certification for its eVTOL aircraft, targeting commercial launch in 2025. A key part of Joby’s strategy is to secure exclusive operating rights in major markets, exemplified by its agreement to provide air taxi services in Dubai until 2032.
With a strong focus on integrating software and hardware, Joby has developed the ElevateOS platform to manage scheduling, routing, and customer experience. This digital backbone is expected to play a central role as Joby scales its operations globally.
Blade Air Mobility was founded in 2014 by Rob Wiesenthal, introducing an asset-light, on-demand helicopter and jet service in urban corridors such as New York City and the Hamptons. Blade’s business model centered on aggregating demand through a digital platform, while leveraging third-party operators for aircraft and pilots. Over time, Blade expanded into airport transfers and international routes, establishing a recognizable brand in urban mobility.
A significant pivot occurred in 2021 with Blade’s acquisition of Trinity Air Medical, which marked its entry into the medical logistics space. By 2024, Blade’s MediMobility division was responsible for over half of the company’s revenue, specializing in the rapid transport of human organs for transplantation. This shift reflected both the operational challenges and the economic realities of scaling passenger helicopter services in dense urban areas. Blade’s asset-light approach allowed it to adapt quickly to changes in the market, but also meant that significant capital investments in infrastructure were avoided. The sale of its passenger division to Joby is a strategic move to focus on the growing medical logistics sector, which will continue as Strata Critical Medical.
The urban air mobility market is experiencing rapid growth, driven by technological advances in electric propulsion, battery systems, and digital infrastructure. According to industry research, the global UAM market is projected to surpass $10 billion by 2029, with increasing interest from both private investors and public agencies.
Regulatory support has played a crucial role in accelerating adoption. In 2025, an executive order was enacted in the United States to promote eVTOL deployment for cargo, medical, and rural access, reflecting a broader governmental commitment to the sector.
The integration of Blade’s passenger operations with Joby’s eVTOL technology and software is emblematic of the industry’s evolution toward seamless, multimodal mobility solutions.
Joby Aviation will acquire Blade’s passenger business for up to $125 million. The deal includes $35 million in holdbacks contingent on performance milestones and employee retention, ensuring a smooth transition of operational expertise and customer relationships.
Assets transferred in the deal encompass Blade’s U.S. and European passenger operations, including 12 terminals in key markets such as JFK, Newark, and downtown Manhattan. The acquisition also covers Blade’s brand and customer base, providing Joby with a ready-made infrastructure for rapid expansion.
Blade’s medical logistics division is excluded from the sale and will continue to operate as Strata Critical Medical, maintaining its public listing and focusing on organ transport and other critical missions.
The acquisition immediately grants Joby access to Blade’s extensive passenger network. According to Joby, Blade transported over 50,000 passengers in 2024. However, Axios reports that the figure may be as high as 100,000 passengers across more than 30,000 flights, indicating a robust demand for short-haul air mobility. The discrepancy in figures likely stems from differing definitions of passenger categories or reporting periods. Joby’s integration of Blade’s lounges and terminals is expected to reduce the capital expenditure required for new vertiport construction, accelerating time-to-market in key urban areas.
In addition to commercial gains, Joby’s partnership with L3Harris to develop hybrid gas-turbine VTOLs for military applications provides a new avenue for revenue diversification. Flight testing is scheduled to begin in late 2025, with demonstrations expected in 2026.
“Blade has spent 10 years building best-in-class infrastructure… We see that as a launchpad for helping us accelerate the scale-out of our passenger service.”, JoeBen Bevirt, CEO of Joby Aviation
A central pillar of the acquisition is the integration of Joby’s ElevateOS software into Blade’s operations. This platform will streamline scheduling, routing, and customer interactions, enhancing efficiency and reducing operational overhead.
Blade’s medical division, now Strata, will continue to partner with Joby for organ transport missions. The use of quieter, electric aircraft is expected to improve outcomes for time-sensitive medical logistics by expanding operational windows and reducing community disruption.
The combined entity is well-positioned to benefit from regulatory incentives and first-mover advantages in both passenger and medical air mobility.
Joby’s acquisition of Blade’s passenger operations is closely aligned with its preparations to launch air taxi services in Dubai. The company has secured exclusive rights to operate eVTOL taxis in the city until 2032, and recently completed piloted demonstration flights to validate its technology and operational procedures.
On the regulatory front, Joby is actively pursuing FAA Part 135 certification for its eVTOL aircraft, with full approval targeted for 2025. This certification is a prerequisite for commercial passenger operations in the United States and is expected to serve as a model for other jurisdictions.
The company’s collaboration with L3Harris on hybrid VTOLs for defense applications underscores the versatility of Joby’s platform and the growing interest from government agencies in next-generation aviation technologies. Industry analysts have highlighted the strategic logic of the deal. McKinsey & Company projects that eVTOLs will revolutionize urban transport by 2030, with noise reduction and sustainability as key drivers.
Bendeveran, an industry commentator, has noted that Blade’s medical logistics business was undervalued relative to its peers, and that the partnership with Joby could unlock new growth opportunities.
Executives from both companies have emphasized the importance of infrastructure and operational readiness in scaling air mobility services, with Joby’s CEO describing Dubai as a “launchpad for a global revolution.”
“Quiet electric aircraft will be the great unlock to build more lanes,” enabling expansion beyond traditional heliports., Rob Wiesenthal, Founder of Blade Air Mobility
The UAM sector is characterized by intense competition, with players such as Archer Aviation, Lilium, and Volocopter developing their own eVTOL platforms and service models. Joby’s acquisition of Blade’s passenger business differentiates it through immediate access to operational scale and customer loyalty.
Government support, as seen in Dubai’s exclusive rights agreement and the U.S. executive order on eVTOLs, is fostering a favorable environment for rapid industry growth.
As the sector matures, collaborations between technology developers, infrastructure owners, and service providers will become increasingly important for achieving commercial viability and regulatory compliance.
Joby Aviation’s acquisition of Blade’s passenger business represents a strategic convergence of technology and operational expertise in the urban air mobility sector. By leveraging Blade’s established infrastructure and customer relationships, Joby is well-positioned to accelerate the rollout of its eVTOL services in key markets, while also expanding into high-value medical logistics through its partnership with Strata.
As regulatory frameworks evolve and public acceptance of urban air mobility grows, integrated platforms like the one formed by Joby and Blade will play a central role in shaping the future of transportation. The deal serves as a blueprint for other industry participants seeking to combine innovation with operational scale, and underscores the importance of infrastructure, partnerships, and regulatory alignment in achieving sustainable growth. What is the value of the Joby-Blade acquisition? What happens to Blade’s medical division? How many passengers did Blade serve in 2024? When will Joby’s eVTOLs be certified? What is the significance of the Dubai launch? Sources:
Joby Aviation Acquires Blade’s Passenger Business: Strategic Leap in Urban Air Mobility
Background
Joby Aviation: Pioneering Electric Air Taxis
Blade Air Mobility: From Helicopter Taxis to Medical Logistics
Market Growth and Regulatory Momentum
Key Facts and Data
Acquisition Terms and Structure
Operational Impact and Passenger Volume
Strategic Synergies and Software Integration
Recent Developments
Dubai Launch and Regulatory Progress
Industry and Analyst Perspectives
Competitive Landscape and Global Context
Conclusion
FAQ
Joby Aviation is acquiring Blade’s passenger business for up to $125 million, with $35 million contingent on performance milestones and employee retention.
Blade’s medical logistics division will continue as Strata Critical Medical, remaining a public entity and partnering with Joby for future eVTOL deployments.
According to Joby, Blade transported over 50,000 passengers in 2024. Axios reports a higher figure of approximately 100,000 passengers across more than 30,000 flights.
Joby is targeting full FAA certification for its eVTOL aircraft by 2025.
Joby has secured exclusive rights to operate air taxi services in Dubai until 2032, making it a key launch market for its eVTOL platform.
Joby IR
Photo Credit: Joby Aviation
Technology & Innovation
Argonne and Spirit AeroSystems Launch AI Tool for Aerospace Inspections
Argonne National Laboratory and Spirit AeroSystems introduce an AI tool that speeds composite material inspections, reducing time and energy use in aerospace manufacturing.
This article is based on an official press release from Argonne National Laboratory.
A new collaboration between government research facilities and private industry aims to resolve one of the most persistent bottlenecks in modern Commercial-Aircraft manufacturing: the inspection of composite materials. On January 7, 2026, Argonne National Laboratory (ANL) announced the development of an artificial intelligence tool designed to accelerate the analysis of ultrasonic scans, a move they report will significantly reduce production time and energy consumption.
The project, led by ANL in partnership with Spirit AeroSystems, Northern Illinois University, and Texas Research Institute Austin, utilizes advanced machine learning to assist human inspectors. According to the laboratory’s announcement, the tool reduces human inspection time by 7% and cuts facility-level energy usage by approximately 3% per aircraft.
Modern aerospace engineering relies heavily on composite materials due to their superior strength-to-weight ratios. However, verifying the structural integrity of these materials is a data-intensive process. Manufacturers typically use ultrasonic non-destructive testing (NDT) to scan components, generating massive datasets that human experts must manually review to identify defects.
Argonne National Laboratory describes this manual review process as time-consuming and mentally fatiguing. To address this, the research team utilized the Argonne Leadership Computing Facility (ALCF), a U.S. Department of Energy Office of Science user facility, to develop a solution based on Convolutional Neural Networks (CNNs).
According to the technical details released by the laboratory, the AI model does not replace human inspectors. Instead, it functions as an intelligent assistant that rapidly processes scan data to highlight “regions of interest.”
“It rapidly processes scan data and highlights specific areas that contain potential defects or anomalies. This allows human experts to focus their attention solely on ‘regions of interest’ rather than reviewing empty or flawless data.”
— Argonne National Laboratory Announcement
The integration of this technology offers measurable gains in both efficiency and Sustainability. Spirit AeroSystems, a major aerostructures manufacturer, provided the proprietary dataset of ultrasonic scans used to train the model. The resulting tool has demonstrated the ability to shorten the overall production flow time. By automating the initial screening of ultrasonic data, the tool reduces the time human inspectors spend on each component by 7%. In high-volume manufacturing environments, this reduction allows for increased throughput and helps alleviate production backlogs.
Perhaps most notably, the efficiency gains translate directly into energy savings. The announcement states that the tool lowers energy use by roughly 3% per aircraft. This reduction is achieved at the facility level; shorter inspection times mean that heavy machinery, HVAC systems, and lighting operate for fewer hours per unit produced.
The deployment of this AI tool highlights a critical shift in the aerospace sector’s approach to “Industry 4.0.” While much of the past decade’s innovation focused on physical Automation, such as robotic drilling or fastening, the current frontier is digital automation.
We observe that the bottleneck in composite manufacturing has shifted from layup (placing the material) to verification (proving the material is safe). As aircraft designs become increasingly complex, the volume of NDT data is outpacing human capacity to review it. The “human-in-the-loop” approach taken by Argonne and Spirit AeroSystems is significant because it mitigates the regulatory hurdles associated with fully autonomous inspection. By keeping the human inspector as the final authority, manufacturers can likely integrate these tools faster than if they sought to replace the human entirely.
Furthermore, the “open-framework” nature of the underlying techniques, mentioned in the release as being available for academic research, suggests that this methodology could soon expand beyond aerospace into wind energy and automotive sectors, where composite usage is also rising.
The success of this initiative relied on a multi-sector collaboration. While Argonne provided the supercomputing power and machine learning expertise, Spirit AeroSystems supplied the domain knowledge and real-world data necessary to train the AI effectively. Northern Illinois University and Texas Research Institute Austin contributed to validating the technology’s robustness and reliability.
Rajkumar Kettimuthu, a Senior Scientist and Group Leader at Argonne, emphasized the collaborative nature of the work in the official release, noting the combination of industrial constraints and high-performance computing.
Argonne National Laboratory and Spirit AeroSystems Unveil AI Tool for Aerospace Inspections
Addressing the Composite Challenge
Operational and Environmental Benefits
Efficiency Gains
Energy Reduction
AirPro News Analysis
Partnership Details
Sources
Photo Credit: Argonne National Lab
Technology & Innovation
Horizon Aircraft Reports $24M Cash and 2026 Prototype Timeline
Horizon Aircraft secures $24M cash and funding to complete the Cavorite X7 hybrid-electric eVTOL prototype by 2026 with flight tests in 2027.
This article is based on an official press release from Horizon Aircraft and financial data released January 14, 2026.
Horizon Aircraft (NASDAQ: HOVR) has released its financial results for the second quarter of fiscal year 2026, ending November 30, 2025. The company reported a strengthened balance sheet with over $24 million in cash on hand, a liquidity position management states is sufficient to fund operations through the completion of its full-scale Cavorite X7 prototype in 2026.
According to the company’s official statement, the quarter was marked by significant operational growth and the securing of non-dilutive funding, positioning the aerospace manufacturer to advance its hybrid-electric Vertical Take-Off and Landing (eVTOL) technology.
In its Q2 fiscal 2026 report, Horizon Aircraft confirmed it has secured the necessary capital to execute its near-term engineering goals. The company highlighted a cash balance of $24 million as of November 30, 2025. This financial runway is supported by a combination of equity financing and government grants.
Recent financing activities include a capital raise of approximately C$10.8 million during the second quarter through the sale of 2.6 million shares. Additionally, analyst coverage indicates the closing of a financing tranche in December 2024 involving $1.5 million (approximately C$2.1 million) in common shares.
Beyond private capital, Horizon has successfully tapped into public funding. The company was awarded a C$10.5 million non-dilutive grant from the Initiative for Sustainable Aviation Technology (INSAT). This funding is specifically earmarked to support the development of all-weather flight capabilities for the Cavorite X7.
Brian Merker, CFO of Horizon Aircraft, commented on the company’s financial stability in the press release:
“With significantly improved working capital and incoming non-dilutive funding… we are well positioned to continue investing in our people, advancing our technology, and executing toward completion of our full-scale aircraft.”
Horizon Aircraft is focused on the development of the Cavorite X7, a seven-seat hybrid-electric eVTOL designed for regional air mobility, medical evacuation, and cargo transport. The aircraft distinguishes itself with a patented “fan-in-wing” system, which allows it to fly 98% of its mission configuration as a traditional fixed-wing plane. This design covers the vertical lift fans during forward flight to significantly reduce drag. The company has outlined a clear roadmap for the next 18 months. According to the Q2 update:
To support this timeline, Horizon has doubled its engineering headcount year-over-year and plans to double the team size again by the end of 2026.
Brandon Robinson, CEO of Horizon Aircraft, emphasized the momentum behind the project:
“The progress achieved during the second quarter of fiscal 2026 provides strong momentum toward completing our full-scale aircraft and commencing initial testing within the next 12 to 18 months.”
The Hybrid Advantage in a Crowded Market
While many competitors in the Advanced Air Mobility (AAM) sector are pursuing pure electric architectures tailored for short-range urban air taxi services, Horizon Aircraft’s hybrid-electric approach targets a different segment. By utilizing a hybrid system that recharges batteries in-flight, the Cavorite X7 offers a projected range of 800 kilometers (500 miles) and speeds of up to 450 km/h (280 mph).
This technical choice allows Horizon to bypass the immediate need for extensive ground charging infrastructure, a major bottleneck for pure electric eVTOLs. Furthermore, the ability to operate in “austere environments”, areas without prepared runways, makes the aircraft particularly viable for military and medevac applications, sectors where reliability and range often outweigh the benefits of zero-emission propulsion.
Horizon Aircraft is actively deepening relationships with supply chain partners to ensure the timely delivery of components for the full-scale prototype. The company is also exploring military applications for the Cavorite X7, leveraging its design suitability for rugged environments.
The company’s stock (NASDAQ: HOVR) has reflected the volatility typical of the emerging eVTOL sector, though the confirmation of a funded runway through 2026 provides a degree of certainty regarding the company’s ability to reach its next major technical milestone.
What is the Cavorite X7? When will the Cavorite X7 fly? How much cash does Horizon Aircraft have? What makes Horizon different from other eVTOL companies?
Horizon Aircraft Reports $24 Million Cash Position, Confirms 2026 Prototype Timeline
Financial Highlights and Liquidity
Operational Progress: The Cavorite X7
Prototype Timeline
AirPro News Analysis
Strategic Outlook
Frequently Asked Questions
The Cavorite X7 is a hybrid-electric Vertical Take-Off and Landing (eVTOL) aircraft being developed by Horizon Aircraft. It carries one pilot and six passengers and features a patented fan-in-wing design.
According to the company’s latest schedule, the full-scale prototype will be assembled in 2026, with initial flight testing slated to begin in early 2027.
As of November 30, 2025, the company reported $24 million in cash on hand.
Horizon focuses on regional transport rather than urban air taxis. Its hybrid-electric powertrain allows for longer ranges and removes the dependency on ground charging stations.
Sources
Photo Credit: Horizon Aircraft
Technology & Innovation
Airbus Consortium Demonstrates Flight-Ready Composite Recycling
Airbus and partners recycle thermoplastic composites from retired A380 parts into structural components for A320neo, advancing circular aviation.
In a significant step toward a circular aviation economy, a consortium led by Airbus has successfully demonstrated that high-value thermoplastic composite parts can be recycled from retired aircraft and repurposed into structural components for new jets. The project, titled “Recycled and Ready,” involved taking an end-of-life part from a retired A380 and manufacturing it into a flight-ready component for an A320neo.
According to the official announcement released on January 15, 2026, the initiative proves that aerospace composites, historically difficult to recycle without degrading their quality, can be retained within the aviation supply chain rather than being “downcycled” into lower-value products like filler or ground transport components.
The breakthrough was achieved through a partnership between Airbus, materials supplier Toray Advanced Composites, aerostructures manufacturer Daher, and dismantling specialist Tarmac Aerosave. The team’s efforts were recognized with a JEC Innovation Award in the “Circularity and Recycling” category.
The core achievement of the project was the successful conversion of a used engine pylon fairing cover (cowl) from a dismantled A380 into a structural panel for an A320neo pylon. This transition from a “superjumbo” part to a single-aisle component validates the industrial feasibility of reusing thermoplastic materials.
The project relied on the specific properties of the material used: Toray Cetex® TC1100, a carbon fiber reinforced Polyphenylene Sulfide (PPS) thermoplastic. Unlike traditional thermoset composites, which undergo a chemical change during curing that cannot be reversed, thermoplastics can be melted, reshaped, and reformed multiple times.
The project required precise coordination across the supply-chain, with each partner fulfilling a specific role:
This development addresses one of the aviation industry’s most persistent sustainability challenges: the disposal of carbon fiber composites. While metals like aluminum and titanium have recovery rates near 90%, composites have often ended up in landfills because separating the fibers from the resin is technically difficult and expensive.
Isabell Gradert, Airbus VP of Central Research and Technology, emphasized the importance of cross-industry collaboration in achieving this milestone:
“This recognition from the JEC shows how complex challenges, including high-value recycling, are best tackled through partnership. We exist in a complex aerospace supply chain in a hyper-connected world. If a company comes up with a solution on its own, that’s a great story. If an entire industry does it together, that’s transformative.”
, Isabell Gradert, Airbus VP Central Research and Technology
Scott Unger, CEO of Toray Advanced Composites, noted that the project opens the door for high-performance materials to be “meaningfully reused and reintegrated” into structural applications, rather than being discarded.
The Shift to Thermoplastics: This project underscores the strategic advantage of thermoplastic composites over traditional thermosets. While thermosets (like those used heavily on the Boeing 787 and early A350s) offer excellent strength-to-weight ratios, they are chemically “baked” and difficult to recycle. The success of the “Recycled and Ready” program suggests that future aircraft designs may increasingly favor thermoplastics to ensure end-of-life recyclability.
Supply Chain Resilience: Beyond sustainability, this approach offers a strategic benefit. By treating retired aircraft as “material mines,” manufacturers can reduce their dependence on virgin raw materials. With over 10,000 thermoplastic parts on a single A380, the potential inventory for recycled feedstock is substantial. This could help insulate manufacturers from price volatility and supply chain disruptions in the global carbon fiber market.
From Superjumbo to Single-Aisle: Airbus Consortium Proves “Closed-Loop” Composite Recycling is Flight-Ready
Closing the Loop: The Process
Consortium Roles
Industry Significance and Executive Commentary
AirPro News Analysis
Frequently Asked Questions
Sources
Photo Credit: Airbus
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