Archer Aviation announced that its Midnight electric vertical‑take‑off and landing aircraft has been selected by the Tokyo Metropolitan Government to participate in the first phase of the city’s eVTOL Implementation Project. The selection comes through a consortium led by Japan Airlines, which will work with Archer to assess market demand and build the operational ecosystem for electric air taxi services along Tokyo Bay and the city’s river routes.
The partnership marks Archer’s first major entry into the Japanese market and extends its Launch Edition program beyond the United Arab Emirates and Ethiopia. By securing a high‑profile municipal contract, Archer gains access to a dense urban airspace, a large potential customer base, and a platform to demonstrate the Midnight’s capabilities in a high‑traffic environment. The deal also signals confidence from a major aviation authority and could accelerate Archer’s path to type certification and broader market adoption.
Financially, Archer reported a net loss of $206 million in the second quarter of 2025 but maintained a strong cash position of over $1.7 billion, providing a runway of at least 29 months. The company expects to begin recognizing revenue in early 2026, with initial sales expected to be modest but growing. Full‑scale passenger flights are slated for 2028, contingent on completing certification and establishing the necessary support network, while test flights for the Midnight aircraft are scheduled to begin in mid‑2026.
Investors had been cautious ahead of Archer’s earnings announcement, with concerns focused on the company’s pre‑revenue status, potential regulatory delays, and the broader capital intensity of the eVTOL industry. These headwinds tempered enthusiasm for the Tokyo partnership, even as the announcement was viewed positively by market participants.
CEO Adam Goldstein emphasized the significance of the partnership, stating that the Tokyo Metropolitan Government’s eVTOL Implementation Program provides a critical opportunity to bring urban mobility to one of the world’s largest cities. He highlighted Archer’s commitment to building a robust operational ecosystem and expressed confidence that the partnership would accelerate the company’s commercial trajectory.
The Tokyo selection positions Archer to showcase the Midnight’s performance in a demanding urban environment, potentially opening doors to additional municipal contracts across Japan and beyond. With a solid cash base and a clear roadmap for revenue recognition, Archer is poised to leverage this partnership to advance its global eVTOL strategy.
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