Japan’s Toyota Motor Corporation has agreed to invest a further US$500m in US air-taxi company Joby Aviation Inc, to help support the certification process of its battery-powered air-taxis and kick-start commercial production.
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California-based Joby Aviation, which is listed on the New York Stock Exchange, has developed an all-electric vertical take-off and landing air-taxi which it intends to operate as part of a “fast, quiet and convenient” passenger transportation service in major cities around the world.
Toyota had already invested US$394m in the company, back in 2020. The new investment, which will bring the Japanese automaker total investment in Joby to US$894m, will be made in the form of cash for common stock with the first tranche scheduled to be disbursed later this year and the second in 2025.
Toyota confirmed its new investment “will be made in two equal tranches, subject to standard regulatory approvals and certain other conditions, finalization of collaborative and commercial agreements and, with respect to the second tranche, the finalization of terms related to a strategic alliance focused on commercial manufacturing and certain other conditions.”
JoeBen Bevirt, founder and CEO, Joby Aviation, said in a statement: “Today’s investment builds on nearly seven years of collaboration between our companies. The knowledge and support shared by Toyota has been instrumental in Joby’s success and we look forward to deepening our relationship as we deliver on our shared vision for the future of air travel.”
Joby recently produced its third prototype aircraft on its pilot production line in Marina, California, with a new facility now being built which will double production capacity. The company also confirmed “the fourth of five stages of the type certification process is now more than one-third complete on the Joby side”.
Toyota Motor North America’s CEO Tetsuo Ogawa said: “With this additional investment, we are excited to see Joby certify their aircraft and shift to commercial production. We share Joby’s view that sustainable flight will be central to alleviating today’s persistent mobility challenges.”
