Toyota Motor Corp plans to invest an additional $500 million in California-based electric air taxi developer Joby Aviation Inc. The funds would be used to support certification and commercial production of Joby’s electric vertical takeoff and landing (eVTOL) aircraft.
The investment, which is to be made in two equal tranches, is subject to standard regulatory approvals and other conditions, as well as finalization of collaborative and commercial agreements. With respect to the second tranche, it is also conditional on certain other items, including finalization of terms related to a strategic alliance focused on commercial manufacturing. The investment is to be made in the form of cash for common stock, with the first tranche targeted to close in 2024 and the second in 2025.
Toyota’s relationship with Joby began with an initial investment made by Toyota Ventures, an early-stage venture capital subsidiary of Toyota Motor Corp. Toyota subsequently completed investments in Joby totaling $394 million. The additional $500 million would bring Toyota’s total investment in the eVTOL manufacturer to $894 million.
Toyota engineers currently work alongside the Joby team in California. In 2023, the two companies signed a long-term agreement for Toyota to supply powertrain and actuation components for Joby’s aircraft.
Meanwhile, Joby recently rolled off the third aircraft from the company’s pilot production line in Marina, California. It has also broken ground on an expansion of the Marina facility that will more than double its manufacturing footprint. The expanded facility is designed to support a target production rate of 25 aircraft per year.
In addition to the Marina expansion, Joby recently acquired an existing facility at Dayton International Airport in Ohio, as part of its plans to develop scaled manufacturing facilities capable of producing up to 500 aircraft per year.
Joby’s electric air taxi is designed to carry a pilot and four passengers at speeds of up to 200 mph, with a fraction of the noise produced by helicopters and zero operating emissions. Joby intends to bring the aircraft into commercial service in 2025.
Raymond Jaworowski currently co-authors three of Forecast International's best-selling products: Civil Aircraft Forecast, Military Aircraft Forecast, and Rotorcraft Forecast. As a contributor to Aviation Week & Space Technology's Aerospace Source Book, he has authored Aircraft Outlooks, and provided input for the publication's Aircraft Specifications tables. Raymond has represented Forecast International at numerous conferences and trade shows, often as a featured speaker. He is a member of the American Helicopter Society.
