Lilium and Atlantic Aviation Unite to Electrify Regional Air Mobility Across the U.S.
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Insights
The announcement of the Memorandum of Understanding (MOU) between Lilium and Atlantic Aviation marks a significant development in the Advanced Air Mobility (AAM) industry. The collaboration indicates a strategic move to integrate electric vertical take-off and landing (eVTOL) technology within existing aviation infrastructure, which could have a substantial impact on the sector's growth trajectory. A market research analyst would highlight the potential for increased demand for eVTOL-compatible infrastructure, which could open up new revenue streams for companies like Atlantic Aviation. The analyst would also point out the importance of early mover advantage in this nascent market and how this partnership positions both companies favorably in terms of brand recognition and market penetration.
Further, the analyst would evaluate the broader implications for the industry, such as the acceleration of regulatory frameworks to accommodate eVTOL operations and the likely increase in competition as other players seek to establish similar partnerships. The impact on regional travel dynamics, with the potential reduction in travel times and the introduction of a sustainable travel option, could also be a point of interest. This could lead to shifts in consumer preferences and open up new markets for air travel, particularly for time-sensitive business travelers.
From a financial perspective, the partnership between Lilium and Atlantic Aviation is indicative of Lilium's commitment to its commercialization strategy. The MOU signifies preparatory steps towards creating a viable network for the Lilium Jet, which is crucial for the company's revenue model that includes selling the jets and providing aftermarket services. A financial analyst would scrutinize the capital expenditures involved in retrofitting existing infrastructure to support eVTOL technology and weigh it against the potential long-term cost savings and revenue generation from increased operational efficiency and customer base expansion.
The analyst would also assess the potential impact on Lilium's stock performance, considering the investor sentiment around sustainable and innovative transportation solutions. The partnership could be seen as a positive signal to investors, as it demonstrates tangible progress towards the commercial viability of Lilium's product. However, the analyst would also caution that the realization of financial benefits is contingent on the successful deployment and public acceptance of the Lilium Jet, along with the regulatory approvals necessary for operation.
From a sustainability standpoint, the move towards electrifying airport infrastructure in support of eVTOL operations represents a significant step in reducing the carbon footprint of regional air travel. A sustainability expert would analyze the environmental benefits of transitioning to electric jets, such as reduced greenhouse gas emissions and noise pollution. The expert would also consider the source of electricity for charging the eVTOL jets, as the sustainability of the operation largely depends on the use of renewable energy sources.
Moreover, the expert would explore the potential for this partnership to set a precedent for other aviation service providers, encouraging the industry to adopt more environmentally friendly practices. The compatibility of current and future vertiports with the Lilium Jet could serve as a model for sustainable infrastructure development in the aviation sector. This partnership could also drive advancements in battery technology and charging solutions, further contributing to the sustainability of air travel.
- Lilium and Atlantic Aviation announce they have signed an MOU to electrify existing airport infrastructure and support regional air mobility
- Agreement aims to ensure compatibility of current and future vertiports with Lilium Jet
- Partnership aims to establish a planned network to support operators of the Lilium Jet
MUNICH, Germany, March 13, 2024 (GLOBE NEWSWIRE) -- Lilium N.V. (NASDAQ: LILM), developer of the first all-electric vertical take-off and landing (“eVTOL”) jet, has teamed up with Atlantic Aviation, a leading fixed-based operation (FBO) and aviation services provider, to prepare Atlantic’s network of more than 100 FBOs for the Lilium Jet’s regional upcoming air mobility service launch in the United States.
This strategic partnership will work to ensure seamless compatibility between the Lilium Jet and Atlantic's network of aviation assets across North America, enabling Advanced Air Mobility operations at current and future locations. Atlantic operates sites at more than 30 airport locations within Lilium’s planned launch markets in Florida, Southern California, the Northeast corridor, and Texas.
Lilium and Atlantic will focus on infrastructure deployment and operations, with an eye toward passenger experience, at existing and upcoming sites. Strategic planning will revolve around key drivers including aircraft flight paths, charging capabilities, passenger facilities, operations forecasting, and more. This comprehensive approach will ensure Lilium Jet operators have access to strategic points within Atlantic’s network of aviation facilities, working to both optimize the passenger experience and usher in a new era of air travel.
“Our partnership with Atlantic Aviation is a critical step toward realizing our vision for a sustainable and accessible mode of high-speed regional travel,” said Sebastien Borel, Lilium’s Chief Commercial Officer. “Atlantic’s extensive presence across major U.S. cities and expertise in ground infrastructure development and premier customer service will be invaluable in establishing a robust network that supports the Lilium Jet throughout the U.S.”
“Atlantic Aviation is eager to work alongside Lilium, a pioneer in the burgeoning eVTOL sector, to construct the necessary infrastructure for their regional air mobility service in the United States,” said John Redcay, Chief Commercial and Sustainability Officer at Atlantic. “This collaboration underscores our firm conviction in the transformative potential of eVTOL technology in reshaping regional travel, and we are dedicated to furnishing the technology agnostic infrastructure and assistance required to bring this vision to fruition.”
Lilium’s planned commercialization approach focuses on manufacturing and selling the Lilium Jet to various individuals and companies for private, premium and shuttle operations and thereafter providing aftermarket support and services. This go-to-market strategy will allow for a diverse revenue stream and is predicated on aviation facilities being ready for the Lilium Jet, emphasizing the value of partnering with Atlantic.
Lilium’s strategic collaboration with Atlantic will pave the way for a smooth entry into service of the Lilium Jet that will help usher in a new era of regional air transportation that connects travelers from city-to-city and saves passengers hours in travel time.
This MOU follows several partnerships between Lilium and other providers globally, as well as the commencement of production of the Lilium Jet late last year.
About Lilium
Lilium (NASDAQ: LILM) is creating a sustainable and accessible mode of high-speed, regional transportation for people and goods. Using the Lilium Jet, an all-electric vertical take-off and landing jet, designed to offer leading capacity, low noise, and high performance with zero operating emissions, Lilium is accelerating the decarbonization of air travel. Working with aerospace, technology, and infrastructure leaders, and with announced sales and indications of interest in Europe, the United States, China, Brazil, the UK, the United Arab Emirates, and the Kingdom of Saudi Arabia, Lilium’s 950+ strong team includes approximately 500 aerospace engineers and a leadership team responsible for delivering some of the most successful aircraft in aviation history. Founded in 2015, Lilium’s headquarters and manufacturing facilities are in Munich, Germany, with teams based across Europe and the U.S. To learn more, visit www.lilium.com.
About Atlantic Aviation
Atlantic Aviation offers customers more than 100 fixed base operation (FBO) locations across North America. Atlantic Aviation’s facilities each provide a full suite of critical services to the business aviation sector covering a wide range of aircraft ground handling and corporate flight support, including fueling and line services, ground transportation, catering, hangar, deicing, and ramp space. To learn more, and for a complete list of locations, please visit https://www.atlanticaviation.com/.
Lilium contact information for media:
Meredith Bell
Vice President, External Communications
press@lilium.com
Contact information for investors:
Rama Bondada
Vice President, Investor Relations
investors@lilium.com
Atlantic contact information for media:
Ivy Cueto
Marketing Manager
Ivy.Cueto@atlanticaviation.com
Lilium Forward Looking Statements:
This press release contains certain forward-looking statements within the meaning of the U.S. federal securities laws, including, but not limited to, statements regarding (i) Lilium N.V.’s and its subsidiaries (collectively, the “Lilium Group”) proposed business and business model, (ii) the markets and industry in which the Lilium Group operates or intends to operate, (iii) the anticipated timing of the industrialization, commercialization and launch of the Lilium Group’s business in phases, (iv) the Lilium Group’s partnership and intended work with Atlantic Aviation as described herein, and (v) the expected results of the Lilium Group’s business and business model, including when launched in phases. These forward-looking statements generally are identified by the words “anticipate,” “believe,” “could,” “expect,” “estimate,” “future,” “intend,” “may,” “on track,” “plan,” “project,” “should,” “strategy,” “will,” “would” and similar expressions. Forward-looking statements are predictions, projections, and other statements about future events that are based on management’s current expectations with respect to future events and are based on assumptions and are subject to risk and uncertainties that are subject to change at any time. Actual events or results may differ materially from those contained in the forward-looking statements. Factors that could cause actual future events to differ materially from the forward-looking statements in this press release include those risks and uncertainties discussed in Lilium’s filings with the U.S. Securities and Exchange Commission (the “SEC”), including in the section titled “Risk Factors” in our Annual Report on Form 20-F for the year ended December 31, 2022, on file with the SEC, and similarly titled sections in Lilium’s other SEC filings, all of which are available at www.sec.gov. Forward-looking statements speak only as of the date they are made. You are cautioned not to put undue reliance on forward-looking statements, and Lilium assumes no obligation to, and does not intend to, update, or revise these forward-looking statements, whether as a result of new information, future events or otherwise.
FAQ
What is the partnership between Lilium N.V. and Atlantic Aviation about?
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