The flying car industry is no longer just a futuristic idea; it’s a rapidly growing field that aims to change urban travel. By providing solutions to crowded cities, traffic jams, and long commutes, it has the potential to reshape how we move around in the future.
The global flying car market is expected to reach $920 million by 2030, growing at a CAGR of 37%. North America is expected to dominate this market, driven by early adoption in the US and advancements in air mobility infrastructure. Several US cities, like Miami, Orlando, and Cincinnati, are already planning vertiports, specialized landing hubs for flying cars. [1]
With billions of dollars flowing into the development of flying taxis and air mobility services, we highlight the top flying car companies that are opening up new possibilities for urban transportation and logistics.
Did you know?
Flying cars, particularly those using eVTOL (electric vertical take-off and landing) technology, aim to cut greenhouse gas emissions by up to 50% compared to traditional helicopters and private jets. [2]
Table of Contents
13. ARC Aerosystems
Headquarters: Bedfordshire, United Kingdom
Total Funding: $12 million+
Competitive Edge: Utilizes hybrid-electric propulsion systems
ARC aims to develop advanced aircraft for urban environments, helping to reduce congestion and travel times. They specialize in short and medium-range passenger air mobility and cargo transport solutions.
The company is currently testing its prototype, the Pegasus VTOL-Tech. With $50 million in investment and over 2,500 hours of test flights, this aircraft can reach a maximum altitude of 10,000 feet and has a range of up to 380 miles. [3]
ARC plans to generate revenue by selling its aircraft to aviation companies, private businesses, and government agencies. They are also considering leasing options and offering aerial solutions for logistics and air taxi services.
In 2024, ARC secured $11.8 million in funding from the British Business Bank and is now raising more to speed up manufacturing and commercialization. [4]
12. XTI Aerospace
Headquarters: Colorado, United States
Total Funding: $55 million
Competitive Edge: Pre-orders worth over $1 billion
XTI is developing the TriFan 600, a cutting-edge hybrid-electric VTOL aircraft. It’s expected to reach speeds of up to 345 mph with a range of 700 miles, making it one of the few VTOL aircraft that can match the performance of fixed-wing planes, ideal for short to medium-haul trips. [5]
With its ability to take off and land vertically, the TriFan 600 can access various locations, including city centers, remote areas, and places without major airports. XTI’s main target customers are high-net-worth individuals, small businesses, and air charter operators. The company is also exploring opportunities in government contracts, military use, and emergency services.
The company is progressing toward FAA Part 23 certification, aiming to secure regulatory approval by the late 2020s. It has received a proposed investment of up to $55 million at a valuation of $275 million. [6]
11. Alauda Aeronautics
Headquarters: Adelaide, Australia
Total Funding: $2.1 million
Competitive Edge: Creator of flying car racing league, Airspeeder
Alauda Aeronautics is primarily recognized for its involvement in the Airspeeder series, a racing league for flying cars. The company aims to accelerate the development of eVTOL technology by using competitive racing as a platform to improve performance, advance innovation, and drive public interest.
Their revenue model is twofold:
- Selling the eVTOL technology to individuals and businesses interested in flying cars
- Making money through sponsorships and event management for the Airspeeder Racing League
The company has successfully conducted multiple flight tests for its Airspeeder Mk4, a high-performance eVTOL racer. These tests show that Mk4 can achieve over 100 mph and reach heights of up to 131 feet during races. To date, Alauda has raised nearly $2.1 million through two funding rounds from four investors, including Equals and Jelix Ventures. [7]
10. Urban Aeronautics
Headquarters: Yavne, Israel
Total Funding: $50 million
Competitive Edge: Uses internal rotor blades instead of external propellers
Urban Aeronautics aims to build compact, wingless eVTOL aircraft optimized for urban transportation and emergency medical services. Its flagship aircraft, the CityHawk, is designed to operate efficiently in dense urban environments for passenger and cargo transport.
Its proprietary Fancraft technology uses internal rotor blades instead of external propellers, making the aircraft safer and more compact. This enables CityHawk to operate in confined spaces, including densely populated urban areas, where traditional helicopter or eVTOL aircraft with external rotors may struggle.
The company is also exploring hydrogen fuel cells for the CityHawk, which could make it one of the most environmentally friendly eVTOL aircraft in the market. In 2020, they signed an agreement with HyPoint, a leader in next-generation hydrogen fuel cell systems, to equip its CityHawk aircraft with hydrogen propulsion systems. [8]
9. SkyDrive
Founded: 2018We SkyDrive have successfully utilized drones to transport materials and equipment.
In Japan, “labour shortage” is a serious problem due to the aging society.
We proved that drones can be used in civil engineering projects.Photos：
1. Cargo Bag(Disassembled special equipment,… pic.twitter.com/bQuiMZFTME— SkyDrive Inc. (@Skydrive_Global) July 16, 2024
Headquarters: Tokyo, Japan
Total Funding: $130 million
Competitive Edge: Parterned with Suzuki
SkyDrive designs and manufactures eVTOL flying cars that can be used as urban air taxis and cargo drones for logistics operations. The company envisions transforming short-distance travel within cities.
They have successfully conducted several manned flight tests of their SD-03 flying car prototype, a single-seater aircraft, demonstrating the aircraft’s safety and agility. In 2022, they partnered with Suzuki to advance eVTOL technology and explore mass production.
That same year, they announced the development of the SD-05, a two-seater aircraft. The SD-05 is expected to have a flight range of 6-12 miles and a top speed of 37-40 mph, with plans for commercial availability as early as 2025.
SkyDrive has raised a total of $130 million through six funding rounds, with the latest corporate round completed in 2024. Major investors include Osaka Metro, Suzuki Motor, and Obayashi Corporation. [9]
8. Wisk Aero
Headquarters: California, United States
Total Funding: $450 million
Competitive Edge: Backed by Boeing
Formed as a joint venture between Boeing and Kitty Hawk, Wisk Aero focuses on building autonomous eVTOL air taxis that will operate as part of an on-demand urban air mobility network. It targets urban commuters and travelers who need short-haul flights within cities, particularly in congested metropolitan areas.
In 2022, Wisk unveiled its 6th-generation eVTOL aircraft, capable of flying at altitudes between 2,500 and 4,000 feet, with speeds of 110-120 knots and a range of 90 miles.
In 2023, Wisk was acquired by Boeing but continues to operate independently. This acquisition gives Wisk substantial technical and financial support, including access to advanced engineering, manufacturing capabilities, and regulatory expertise. [10]
7. PAL-V
Headquarters: Raamsdonksveer, Netherlands
Competitive Edge: Operate both on the road and in the air
PAL-V develops flying cars that can operate both on the road and in the air. Its flagship product, the Liberty, is a unique vehicle designed to meet both aviation and automotive regulations, offering flexibility to users by combining driving and flying capabilities. This dual capability gives it a unique position in the market compared to many competitors who focus solely on air mobility.
PAL-V’s Liberty utilizes gyrocopter technology for flight, which is quite safter than fixed-wing or helicopter designs due to its ability to glide and safely land in case of engine failure.
In 2022, the Liberty vehicle passed the European road admission tests, becoming fully road-legal in Europe. By 2024, it had completed the European Union Aviation Safety Agency (EASA) certification process for flight operations, allowing customers to legally fly the Liberty in Europe. The company aims to deliver the first Liberty vehicle by the end of 2026. [11]
Liberty is also looking to expand beyond Europe, targeting markets in North America, Asia, and the Middle East. They are working to gain certification from the FAA and other aviation authorities to grow their global market presence.
6. Vertical Aerospace
Founded: 2016Headquarters: Bristol, United Kingdom
Total Funding: $265.1 million
Competitive Edge: Controls design and manufacturing process in-house
Vertical Aerospace’s eVTOL aircraft are designed to be quiet, sustainable, and capable of carrying passengers within congested cities and across regional routes. The company envisions its aircraft being used for air taxi services, emergency medical services, and even private transport.
Its flagship aircraft, the VX4, is designed to carry four passengers and a pilot on short regional flights. It offers agile vertical take-off and landing, with cruise speeds of 150 mph and a range of up to 100 miles.
The company has secured pre-orders for up to 1,500 VX4 aircraft from major airlines and operators, including American Airlines, Avolon, Virgin Atlantic, and Brisbane Airport. The pre-orders have an estimated value of $6 billion. [12]
Vertical Aerospace has raised nearly $265.1 million through five funding rounds, with the latest being a grant round in 2024. Major investors include Aerospace Technology Institute, 40 North Ventures, Avolon Holdings, and M12, Microsoft Venture Fund. [13]
5. Volocopter
Founded: 2011Headquarters: Baden-Württemberg, Germany
Total Funding: $544.4 million
Competitive Edge: Conducted over 2000 test flights
Volocopter is a German-based flying car company that aims to create a safe, sustainable, and efficient urban air mobility ecosystem. As one of the earliest entrants in the eVTOL space, it has been developing electric flying vehicles for over a decade. This early start gives Volocopter a first-mover advantage.
Its aircraft use multirotor technology, known for its safety and stability. The VoloCity air taxi, for example, has 18 rotors that provide redundancy, enhancing safety in case of a system failure. The VoloCity seats two passengers and a pilot, offering a range of 22 miles and a cruising speed of 68 mph. [14]
Volocopter takes a comprehensive approach to urban air mobility by not only building aircraft but also developing digital platforms for flight operations and customer booking. This end-to-end solution differentiates them from competitors who focus solely on aircraft development.
4. EHang
Headquarters: Guangzhou, China
Total Funding: $105.6 million
Competitive Edge: Focuses on fully autonomous air taxis and aerial logistics
EHang develops autonomous aerial vehicles (AAVs) for urban air mobility, logistics, and emergency response. Their aircraft are designed to operate without a human pilot, offering autonomous, point-to-point transportation of passengers and goods.
EHang is the first publicly traded company in the world to focus exclusively on AAVs. Its EHang 216 aircraft is among the few autonomous, passenger-grade drones to have completed extensive flight tests. [15]
More specifically, it has completed over 40,000 test flights across multiple countries, including China, Austria, Spain, South Korea, and UAE. It has a range of 22 miles and can fly at speeds of up to 80 mph, making it suitable for short intra-city trips.
EHang generates revenue by selling AAVs, urban air mobility services, and logistics services. In FY 2024, the company achieved $34.59 million in revenue, compared to $16.61 million in 2023 and $6.52 million in 2022. [16]
3. Lilium
Headquarters: Bavaria, Germany
Total Funding: $1.4 billion
Competitive Edge: Focuses on high-speed, long-range, all-electric air taxis
Lilium is developing a fully electric jet-powered VTOL aircraft for passenger and cargo transport. The Lilium jet is designed to carry 5-7 passengers and can travel up to 186 miles on a single charge, with a cruising speed of 186 mph.
Unlike many eVTOL companies targeting urban air taxis, Lilium aims to connect regions and cities over longer distances. Its jet propulsion system, powered by 36 electric ducted fans, allows for quieter and more efficient flights with faster speeds than traditional rotorcraft.
Lilium has raised approximately $1.4 billion from 24+ investors, including prominent names like Tencent, Atomico, Baillie Gifford, and LGT Capital Partners. About $975 million of this funding came from post-IPO equity rounds, which are being used for aircraft development, certification, and infrastructure projects. [17]
In 2024, Saudia Group signed a deal to purchase 50 Lilium jets, with an option to buy 50 more. This is the largest commitment by an airline operator in the eVTOL sector. Saudia Group anticipates receiving the first jets in 2026. [18]
2. Archer Aviation
Headquarters: California, United States
Total Funding: $1.3 billion
Competitive Edge: Partnered with United Airlines and Stellantis
Archer is developing fully electric eVTOL aircraft for short-haul routes of under 100 miles, connecting city centers with major transportation hubs. Their production aircraft, Midnight, is designed to carry four passengers and a pilot over a distance of 60 miles at speeds of 150 mph.
The company plans to generate revenue through its air taxi service, which will operate as a ride-sharing platform for urban air travel. Besides passenger services, Archer may offer cargo transportation services.
Archer has partnered with United Airlines to integrate air taxis with the airline’s services and improve connections between city centers and airports. This partnership includes a $1 billion pre-order from United Airlines for 200 aircraft, positioning Archer as a key player in future urban air mobility infrastructure. [19]
The company has also entered into a manufacturing partnership with Stellantis, a global automotive firm. This collaboration will help Archer scale its aircraft production and reduce manufacturing costs. [20]
1. Joby Aviation
Founded: 2009We’re excited to bring our quiet, emissions-free air taxi service to the UK, offering travel between destinations like Leeds and Manchester Airport in ~22 minutes instead of more than an hour by car.
This week, our electric air taxi is on display at Farnborough International… pic.twitter.com/yVwgCSn5GO
— Joby Aviation (@jobyaviation) July 21, 2024
Headquarters: California, United States
Total Funding: $2 billion
Competitive Edge: Competed 3 of 5 stages of FAA certification
Joby Aviation has emerged as a pioneer in the urban air mobility sector. It is developing an eVTOL aircraft intended for urban air taxi services. It plans to offer ride-sharing services that allow passengers to book short flights in major metropolitan areas via an app, similar to how traditional ride-sharing services work.
Joby’s aircraft uses a unique tilt-rotor design, which enables both vertical takeoff/landing and efficient forward flight. This design combines the versatility of a helicopter with the efficiency of an airplane, providing a quiet and smooth ride, with noise levels expected to be 100 times quieter than a helicopter during takeoff.
The company has completed three of five stages of the FAA certification process, marking a significant step toward commercialization. Joby has partnered with Toyota, which has invested over $400 million in the company. Toyota is also providing expertise in mass manufacturing to help Joby scale its production capabilities. [21]
In 2021, Joby went public, raising $1.1 billion at a valuation of $4.5 billion, although its valuation has since decreased to $3.72 billion. Currently, Joby is working on launching services in multiple U.S. cities and plans to expand to international markets. They are also exploring partnerships with logistics companies for cargo services. [22]
Read More
- 17 Different Car Engine Types | Explained
- 17 Top Chinese Electric Car Brands
- 14 Aviation Startups to Watch
- Top Market Report, Flying car market trend and analysis, MarketsandMarkets
- Nabil Hagag, The feasibility of electric air taxis, arXiv
- Pegasus, The Pegasus is the result of $50m investment and over 2500 hours of test flights, Arc Aero Systems
- ARC Aerosystems, Mission to transform rural transportation with their hybrid-electric VTOL Pegasus, Crowdcube
- TriFan 600. Vertical takeoff with the speed, range, and comfort of a business aircraft, XTI Aerospace
- Press Releases, Second quarter 2024 business update, XTI Aerospace
- Company Highlights, Alauda Aeronautics’ funding and financials, Crunchbase
- News, Urban Aeronautics signs agreement with Hypoint to advance the incorporation of hydrogen power, Urban Aero
- Company Highlights, SkyDrive’s funding and financials, Crunchbase
- Aerospace and Defense, Boeing buys self-driving air taxi start-up Wisk, Barron’s
- Press Releases, PAL-V first in the world to finalize certification basis with EASA, PAL-V
- Shareholder Letter, First half-year 2024 financial results, Vertical Aerospace
- Company Highlights, Vertical Aerospace’s funding and financials, Crunchbase
- Built For City Missions, 2 seats, 18 rotors, and endless possibilities, Volocopter
- News Release, Fourth quarter and fiscal year 2023 unaudited financial results, EHang
- Company Highlights, EHang’s annual revenue, CompaniesMarketcap
- Company Highlights, Lilium funding and financials, Crunchbase
- Media Release, Saudia Group signs industry-leading sales agreement with Lilium, Lilium
- Tracy Rucinski, Archer to go public, United Airlines invests and orders electric aircraft, Reuters
- News Details, Key terms of contract manufacturing relationship with Stellantis, Archer Aviation
- News Details, Joby completes third stage of FAA certification process, Joby Aviation
- CMC Markets, Uber-backed Joby Aviation IPO fails to take off, FinanceAsia
