Joby Aviation to participate in White House eVTOL program

Shares of Joby Aviation (NYSE:JOBY) were launched higher at Friday’s open after the company  announced plans to participate in a new White House initiative to advance the development and deployment of electric vertical take-off and landing ((eVTOL)) aircraft.

President Trump’s  Executive Order directs the Department of Transportation (DOT) and Federal Aviation Administration (FAA) to ensure than “mature” eVTOL aircraft can begin operations in select markets before achieving full FAA certification.

The eVTOL Integration Pilot Program ((eIPP)) aims to “accelerate the safe commercialization [of drones and eVTOL] to fully integrate into the National Airspace System" in recognition of the potential for cargo delivery, passenger transport, and air mobility. 

The Executive Order (EO) tasks the Secretary of Transportation, acting through the Administrator of the FAA to ensure that unmanned aircraft system (UAS) flights beginning and ending in U.S. airspace, can operate without being subject to the “onerous” requirements applicable to manned aircraft engaging in international navigation.

Additionally, the EO also allows for establishment of the eIPP program as an extension of the BEYOND program (FAA initiative to advance the integration of UAS into the national airspace system) to accelerate the deployment of safe and lawful eVTOL operations. The program requires the DOT to select at least five pilot projects that plan to being eVTOL operations.  

Joby Aviation (NYSE:JOBY) believes it is qualified to participate in the eIPP program given the aircraft’s operational readiness, late stage of FAA certification, and Joby’s (NYSE:JOBY) scalable production capabilities.

“We’ve spent more than 15 years building the aircraft technology and operational capabilities that are defining advanced aerial mobility, and we’re ready to bring our services to communities. We look forward to demonstrating our aircraft's maturity and delivering early operations in cities and states nationwide,” said Joby’s chief policy officer, Greg Bowles.

Joby Aviation (JOBY) shares are up more than 7%, giving a boost to peers Archer Aviation (ACHR), and Vertical Aerospace (EVTL).