The Boeing Co. is exchanging three of its advanced aerospace technology businesses for a minority stake in Archer Aviation, one of several developers of electric aircraft aiming to launch air taxi service. Boeing reportedly will take a 19.75% share of Archer, along with stock-purchase warrants, and directorship, though the terms of the exchange have not been confirmed.

Boeing previously invested in Archer Aviation as part of a settlement agreement between the two business, involving an intellectual property dispute. That conflict involved Boeing subsidiary Wisk Aero, which is one of the business that Archer will take into its portfolio as part of the exchange.

Wisk Aero is an eVTOL (electric vertical takeoff-landing) aircraft developer, like Archer. Also coming into Archer’s control are Insitu, a Boeing business that makes unmanned aircraft for military and defense uses; and SkyGrid, which develops “ground-based, aircraft-agnostic management” platforms, for air-traffic control of automated aircraft.

For Boeing, the exchange signals its continued interest in new aviation technology, but a primary focus on commercial and military aircraft development. Boeing v.p. Commercial Airplanes Product Development Brian Yutko stated the deal "allows Wisk, SkyGrid, and Insitu to accelerate capability development and time to market, while ensuring Boeing capitalizes on its investments in these technologies over the past two decades through continued development in our core businesses.

According to Archer Aviation founder and CEO Adam Goldstein: "This is a watershed moment for Archer and the future of physical AI in aerospace and defense. This is the next big step forward in becoming a diversified platform, rapidly growing our revenue base and bringing scale to our business."

The emphasis on “physical AI” indicates Archer’s goal is to expand its business beyond the air taxi vehicles and services on which it has grown, to supply technology for “pilot assistance and safety, managing aircraft in crowded airspace, and autonomous/semi-autonomous flight controls.”

That growth certainly will involve military and defense sector technologies. Last month, Archer and Anduril Industries unveiled their co-developed hybrid-electric VTOL with commercial and military variants, designed to carry large payloads over long distances.

The Halo/Thunder vehicle is not a scaled-up version of the Archer Midnight air taxi, but rather “a clean-sheet aircraft built around hybrid powertrain and tiltrotor technology, with considerably more range, speed and payload."