At the Farnborough International Airshow 2024, a new wave of small electric aircraft, primarily with capacities between two and six passengers and ranges slightly over 100 nautical miles, has become a focal point in aviation's advanced air mobility (AAM) sector. These new eVTOL vehicles are vying for attention alongside larger aircraft, advocating for early-stage commercial operations expected to commence as soon as 2025.
The pool of viable eVTOL contenders is shrinking, with several still in contention urgently seeking funding to reach the market while investors demand returns on their capital. Robin Riedel from McKinsey’s Center for Future Mobility noted, “With the AAM companies at the pre-revenue stage, many of them are too small for private equity [backers] and too big for early venture capital.”
Joshua Ng from Alton Aviation highlighted the competitive environment's crunch point: “We are starting to see winners and losers, and those who are winning can demonstrate they have a lot of cash in the bank. Those that are not will need to start quickly demonstrating that they have something really exceptional to convince people they are worth investing in.”