Boeing has finalized a deal to sell three of its subsidiaries to Archer Aviation, a California-based startup focused on electric vertical takeoff and landing (eVTOL) aircraft. The transaction includes Wisk Aero, a developer of autonomous eVTOL technology; SkyGrid, an air traffic management provider for air taxis; and Insitu, a manufacturer of high-altitude drones. In return, Boeing will receive a 20% stake in Archer, along with warrants and options that could increase its ownership over the next four years. The deal also grants Boeing the right to nominate a director to Archer’s board.
The agreement marks a strategic shift for Boeing, which is narrowing its focus to its core aircraft, defense, and space operations under CEO Kelly Ortberg. A Boeing spokesperson stated the deal allows the sold subsidiaries to accelerate their development while ensuring Boeing retains exposure to eVTOL technology through its stake in Archer.
For Archer, the acquisition strengthens its position in the emerging air taxi market. Wisk Aero provides autonomous flight technology developed over years, while SkyGrid offers critical airspace management capabilities for commercial eVTOL operations. Insitu, with contracts including the U.S. Navy and Marine Corps, expands Archer’s defense sector presence. Archer CEO Adam Goldstein called the transaction a "next big step" toward diversifying the company’s revenue and scaling its business.
The deal follows Archer’s goal to launch commercial eVTOL flights by the end of 2024 or early 2025. Analysts note the transaction could accelerate Archer’s timeline by integrating Boeing’s existing technologies and expertise. The agreement was announced on August 10 and includes regulatory filings confirming the terms of the stake and additional equity instruments.
Boeing emphasized that the transaction allows Wisk, SkyGrid, and Insitu to "accelerate capability development and time to market," while Boeing capitalizes on its investments through continued work in its core businesses. The company did not disclose the financial terms of the deal beyond the equity stake and associated instruments.