Boeing invests $450 million in self-driving taxis

REUTERS Mike Blake

PARIS, Jan 24, Reuters - Boeing Co. BA.N is investing $450 million in Wisk Aero to support the development of future pilotless flying taxis, the U.S. aerospace giant said on Monday.

California-based Wisk, owned by Boeing and Kitty Hawk, the air vehicle firm launched by Google co-founder Larry Page, is one of dozens of electric vertical takeoff and landing eVTOL makers but differs in focusing its efforts on autonomous flight.

The design and development of Boeing's chief strategy officer Marc Allen told Reuters that it is the big strategic advantage of Wisk, going straight to a self-flying aircraft and building those principles in every level of the design and development.

A later entry to service than the 2024 target date of most competitors means the decision to leapfrog a generation of eVTOL aircraft developed by independent startups and some aerospace groups.

Boeing did not say a date for the sixth-generation Wisk passenger vehicle, but industry sources said the idea was to present it for certification in around 2028.

Boeing is the first passenger-carrying vehicle to be certified in the United States.

The $450 million investment from Boeing would make it one of the most well-funded companies of its type, Wisk said.

The fundraising follows a series of billion-dollar SPAC mergers by competitors in a trend that has cooled recently.

The timetable for certification remains the key source of uncertainty surrounding the industry, and the company's debuts include California-based Joby JOBY.N and Archer ACHR.N and European rivals Lilium LILM.O and Vertical Aerospace.

Allen said that the kind of constant demand shifts that accompany these emerging industries require broad collaboration between those in industry who bring different capabilities together.

The debt-laden U.S. aerospace giant is seen as being more willing to co-develop know-how on broad capabilities like autonomy and advanced production processes rather than controlling all high-end technology in-house.

Allen said that Wisk is one great example of a potential partnership within Boeing's core aerospace activities. I am sure that it will not be the only example. He said that Boeing's investment in the company could yield improvements that could be applied across Boeing's portfolio.