Advanced Air Mobility Modern Flying News

Electric Air Taxi Manufacturer Volocopter Runs Out of Cash

Manufacturer has raised an estimated $750 million in private capital from backers including Mercedes-Benz, Honeywell, and Blackrock.

Friday, January 03, 2025 at 04:11 PM ET

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Volocopter’s VoloCity electric vertical takeoff and landing (eVTOL) air taxi flies in downtown Manhattan in New York City in November. [Courtesy: Volocopter]

Key Takeaways:

Volocopter, an eVTOL air taxi manufacturer, has filed for insolvency in Germany due to running out of cash, despite its goal of flying paying customers this year.
This financial crisis reflects a wider "cash burn" challenge in the eVTOL industry, where companies have raised billions but largely failed to achieve widespread commercial operations or full certifications.
While Volocopter and similar firms face struggles and potential restructuring, the broader eVTOL market is polarizing, with major players like Joby and Archer continuing to secure substantial funding and partnerships.

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Volocopter—the manufacturer of a two-seat, electric vertical takeoff and landing (eVTOL) air taxi it expects to fly paying customers later this year—is out of cash.

The firm last week filed for insolvency at a court in Germany, where it is based, as it searches for new investors. Tobias Wahl, the company’s court-appointed attorney, said in a news release that it would develop a “restructuring concept” to be shared with investors by the end of February.

Jack Daleo

Jack is a staff writer covering advanced air mobility, including everything from drones to unmanned aircraft systems to space travel—and a whole lot more. He spent close to two years reporting on drone delivery for FreightWaves, covering the biggest news and developments in the space and connecting with industry executives and experts. Jack is also a basketball aficionado, a frequent traveler and a lover of all things logistics.