Charles Alcock is managing editor of the AIN Media Group, having rejoined the company in 2019. He has been an aviation journalist since 1986, and previously worked for AIN from 1990 to 2017, most recently as editor-in-chief. His main focus is on covering new aviation technology and business models, as well as international news.
Having been raised in the London area, Alcock studied at the University of Manchester in the UK and earned an honors degree in Politics and Modern History. He speaks English and French, and some German.

Managing Editor

Charles Alcock

Read the latest news about Archer Aviation. 

Vertical Aerospace is pushing back its target date to achieve type certification of its four-passenger eVTOL aircraft from 2026 to 2028. The UK company announced the timeline adjustment on November 12 while unveiling its new “Flightpath 2030” strategy to investors and financial analysts, which it said is based on an extensive review of its business plan.
With Vertical scrambling to raise further capital to support efforts to complete development work, its engineering team this week started the second phase of piloted flight testing with its full-scale VX4 prototype. With almost 90 test points completed during tethered flights that measured 35,000 flight and system parameters, the company has begun to fly the aircraft without tethers based on an expanded permit to fly from the UK Civil Aviation Authority.
The business update presentation addressed concerns over a looming liquidity crunch at Vertical, with its board under pressure to complete an apparently <a href="https://www.ainonline.com/aviation-news/futureflight/2024-11-01/lilium-scrambles-funds-nasdaq-delisting-looms">stalled capital injection</a> by its founder and leading shareholder Stephen Fitzpatrick. In September, Vertical was obliged to <a href="https://www.ainonline.com/aviation-news/futureflight/2024-09-17/vertical-splits-stock-evtol-aircraft-developer-seeks-new">split its stock</a> to remain compliant with New York Stock Exchange rules.
Vertical reported that as of September 30, the group had £42.8 million ($54.5 million) in cash and cash equivalents, based on unaudited management accounts. For the next 12 months, the company said it expects to burn through cash at about the same rate as the past 12 months, which has seen an outlay of £78.4 million.
“Discussions are ongoing regarding potential third-party investment,” the company said in a written statement. “Vertical is optimistic that these discussions will result in a transaction that will provide funding further into 2025 and facilitate future fundraising opportunities. In parallel, Vertical continues to explore all alternative options available with respect to funding needs.”
<h2>"Space For Multiple Winners"&nbsp;</h2>
Chief executive Stuart Simpson said he expects to be able to provide an update on funding plans in the near future and that the company will hold a capital markets day in 2025. In response to an analyst’s suggestion that funding for advanced air mobility ventures may be drying up in Europe, as evidenced by insolvency proceedings for German rival Lilium, he insisted that Vertical remains “eminently investable” and that “there is space for multiple winners in this sector.”
The Flightpath 2030 plan calls for at least 150 aircraft to have been delivered to customers by the end of 2029. By the fourth quarter of 2030, it aims to achieve an annual production rate of more than 200 VX4s, with a medium-term aim to progressively increase output to 700 units per year.
According to Vertical’s leadership team, it is positioning the company to “become substantially cash generative, achieving cash break even in 2030.” It said that gross profit margin is expected to increase to up to 40% in subsequent years.
Chief engineer David King told investors that Vertical expects to be ready to certify the first in a series of upgrades to its eVTOL design in 2030. He indicated that passenger capacity will be increased to six seats and range extended beyond the current limit of up to around 100 miles. These upgrades will exploit the excess power margin in the 1.4-megawatt proprietary electric propulsion system developed for the VX4.
Vertical’s new strategy sets several specific objectives for 2025. It intends to achieve full transition between vertical and horizontal flight with a pilot on board and be ready to fly public demonstrations showing “real-world use cases.” It will also build and fly a third full-scale prototype and initiate the production process by purchasing long-lead-time parts.
Next week, Vertical will hold one of its regular Pioneer events for prospective operators at which those attending will see the prototype flying at Cotswold Airport in the west of England. The company has reported 1,500 "pre-orders" from customers on four continents including American Airlines, Japan Airlines, Gol, and Bristow.
<h2>Joby and Archer also Face Service Entry Uncertainty</h2>
In May 2023, Vertical pushed back the target date for type certification from 2025 to the end of 2026. However, it is not alone among eVTOL aircraft developers in seeing aggressive timelines disrupted by the realities of a demanding, and at times unclear, regulatory path.
In the U.S., the far more strongly capitalized Archer and Joby are now indicating that FAA type certification and service entry could be pushed to the latter part of 2025. Both had previously suggested that this could be achieved by the end of 2024.
In recent third-quarter financial filings, Joby said it held $710 million in cash, not including around $222 million anticipated from a new equity issue and another $500 million investment pending from its main backer, Toyota. Its Silicon Valley neighbor Archer is sitting on around $500 million in cash and is seeking an additional $400 million contribution from automotive giant Stellantis.
However, as the U.S. frontrunners in advanced air mobility, both companies are now trying to digest the implications of the <a href="https://www.ainonline.com/aviation-news/futureflight/2024-10-29/energy-reserves-and-pilot-training-are-meat-faas-evtol-sfar">FAA’s recently published regulations</a> covering pilot certification and operations of “powered lift” aircraft. Important details such as how pilots can be trained and concessions around a 20-minute energy reserve governing range and flight duration are now having to be urgently factored into preparations for commercial operations.
The third-quarter reports for both Joby and Archer were noticeably vague around specific details of the timelines for completing FAA type certification, as well as dates and locations for first commercial air taxi services. “We’re pleased with the progress we’re making in all our early launch markets and continue to plan to start commercial operations as early as next year,” a spokeswoman told AIN in response to questions around whether timelines are being adjusted in response to the new FAA requirements.
According to independent advanced air mobility industry consultant Sergio Cecutta, it is by no means a given that the eVTOL frontrunners will achieve revised objectives for 2025. He told AIN he does not expect any type certifications to be completed next year, except perhaps by Germany’s Volcopter, which is seeking to bring its two-seat VoloCity model to market. He expects the first air taxi services to start in the UAE, but not before 2026.
“I think we all expected to be at a more advanced state of development, but this is a result of underestimating how difficult and capital-intensive aerospace programs are,” he commented. “We all thought for a long time that $1 billion was the price tag for the certification of an eVTOL; it is now clear that depending on the level of vertical integration, it will come to about $1.5 billion to $2 billion [in the West].”

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