Toyota is investing $500 million in Joby Aviation, a California-based startup developing electric flying taxis. The investment, announced on Wednesday, will support the certification and commercial production of Joby’s electric vertical take-off and landing aircraft (eVTOL). Toyota, already Joby’s largest external shareholder, previously invested $394 million in the company in 2020.
The new funding will be made in two equal tranches, with the first expected to close by the end of this year and the second in 2025. Beyond financial backing, Toyota is also contributing time and personnel, leveraging its production expertise. Toyota engineers are collaborating with the Joby team in California to assist with process planning, development of production methods, and design of tools.
Additionally, Toyota will supply key powertrain and control components for Joby’s aircraft under a long-term agreement signed in 2023.
Toyota deepens ties with Joby Aviation
JoeBen Bevirt, founder and CEO of Joby Aviation, said, “Today’s investment builds on nearly seven years of collaboration between our companies.
The knowledge and support shared by Toyota have been instrumental in Joby’s success, and we look forward to deepening our relationship as we deliver on our shared vision for the future of air travel.
Joby continues to progress toward the commercialization of its eVTOL. Recently, the company rolled its third aircraft off the pilot production line in Marina, California. An expanded facility is also under construction in California, which will more than double the company’s production space.
Joby’s progress is underscored by its recent accomplishments, including a successful eVTOL flight over a distance of approximately 842 kilometers. The company aims to start commercial services in Dubai in late 2025, flying passengers from the Dubai International Airport to the iconic tree-shaped artificial island of Palm Jumeirah. Toyota’s investment reflects the company’s broader vision of transforming into a mobility company, embracing the dream of air mobility for personal or daily travel.
The Japanese automaker has been making bets on futuristic transportation technologies, hoping to eventually add them to its lineup that includes electric vehicles and hybrid cars.
