Archer Aviation Acquires Wisk Aero: A New Era in Electric Aviation
In a surprising twist of fate, Archer Aviation has taken a monumental step in the electric aviation sector by acquiring its former rival, Wisk Aero, just three years after a protracted legal battle over trade secrets. This landmark acquisition not only reshapes the landscape of electric aircraft development but also signals a collaborative spirit between two ambitious companies.
Key Details of the Acquisition
According to a recent regulatory filing, Boeing has agreed to divest Wisk Aero, along with two other subsidiaries—SkyGrid, which specializes in air traffic management software, and drone manufacturer Insitu—to Archer. In exchange, Boeing will receive an ownership stake in Archer, amounting to approximately 19.75% of Archer’s outstanding shares right before the deal’s closure, which translates to around a 16.5% stake post-transaction.
This acquisition marks a full circle for the relationship between Archer and Wisk, which had been marred by allegations of patent infringement and intellectual property theft. In April 2021, Wisk initiated legal action against Archer, alleging “brazen theft” of proprietary information. After two years of contentious litigation, the two companies reached an unexpected settlement that paved the way for collaboration, with Archer making Wisk the official provider of autonomous technology.
From Rivalry to Partnership
Wisk Aero’s journey began as part of Kittyhawk, an electric aviation startup helmed by Sebastian Thrun and backed by Google co-founder Larry Page. Despite shutting down operations in September 2022, the company’s innovations, including the Cora autonomous flying taxi, were spun off into a joint venture with Boeing, eventually becoming Wisk Aero.
Boeing heavily invested in Wisk, contributing millions to support its mission of developing electric, self-flying air taxis. By 2023, Wisk had evolved into a fully-owned subsidiary of Boeing, setting the stage for its acquisition by Archer.
Archer’s Vision for the Future
Founded in 2018, Archer Aviation has expanded its ambitions significantly beyond the air taxi realm. The company recently entered the defense sector, raising substantial funds to support its new Archer Defense program. This shift into defense comes alongside continued development of its flagship project, the all-electric Midnight aircraft, which recently completed a successful piloted test flight.
With this acquisition, Archer stands to enhance its technological capabilities and expand its portfolio in the eVTOL market. As the company gears up to deploy its Midnight air taxis later this year as part of the White House’s eVTOL Integration Pilot Program, the new partnership with Wisk promises to accelerate its journey toward becoming a leader in sustainable aviation.
The electric aircraft landscape is undergoing a transformational shift, and with Archer’s acquisition of Wisk Aero, the stage is set for an exciting future in environmentally friendly air transportation.