"United Airlines Holdings Inc. is making another bet on flying taxis with a $15 million investment in Eve Air Mobility, a company backed by aircraft manufacturer Embraer SA.
The airline said it has struck a conditional agreement to buy 200 of the four-passenger electric aircraft Eve is developing, with options to buy another 200. United said it expects the first deliveries of Eve's aircraft as soon as 2026.
United, which last month put down a $10 million deposit for 100 electric flying taxis being developed by Archer Aviation Inc., said it would need hundreds of the aircraft to serve what it expects to be a booming market in the coming years.
The aircraft being developed by Eve, Archer and other startups will take off and land vertically like helicopters.
The aircraft haven't yet been approved by regulators to fly passengers. The Federal Aviation Administration has been examining aircraft, working on pilot requirements and looking into how to integrate planned vehicles into the airspace.
Airlines and leasing companies have been making investments and striking deals for preliminary orders in hopes that the aircraft will one day zoom around cities, whisking customers above congested highways to and from hub airports while reducing carbon emissions for such journeys.
One-way trips are expected to cost $100 to $150 -- on par with Uber Black service from Manhattan to Newark Liberty International Airport, said Michael Leskinen, president of United's venture-capital fund for early-stage technologies.
Mr. Leskinen said adding a second air-taxi provider will complement its order from Archer. Eve's relationship with Embraer, the Brazilian regional-jet manufacturer, could be helpful in smoothing the regulatory process and developing infrastructure before the aircraft can transport passengers.
Eve Holding Inc. went public earlier this year, and Embraer is its largest shareholder." [1]
1. Business News: United Makes New Flying-Cab Investment
Sider, Alison.
Wall Street Journal, Eastern edition; New York, N.Y. [New York, N.Y]. 09 Sep 2022: B.3.
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