Volocopter Files for Bankruptcy, Shocking the Aviation Industry
Recently, Volocopter, a germany-based electric flying taxi startup has filed for bankruptcy leaving everyone in shock. Just a few days ago, one of it competitors Lilium, was saved from collapse. The company had filed for bankruptcy at Karlsruhe Local Court on Dec 26, 2024.
Volocopter’s History and Achievements
Volocopter is one of the pioneer in electric air taxi startups which was established over a decade ago. Since it’s initiation back in 2011, Volocopter has raised over hundreds of millions of dollars with the backing from major companies like Germany’s Mercedes-Benz and China’s Geely.
As of now, it has two of it’s products in operation which is soon to go live in the market. Volocopter pinoeers Urban Air Mobility with it’s electric vertical takeoff and landing (eVTOL) aircraft: the VoloCity and VoloRegion for passengers which are both powered by it’s innovative technology.
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However, the major reason that Volocopter’s in trouble is because it still needs type certification from the European Union Aviation Safety Agency (EASA) for the market launch of its two-seater Volocity product line.
Although it has applied for insolvency proceedings, the company said it was proceeding on the assumption that an investor would be found in the new year.
Challenges Facing the eVTOL Industry
Not only that, the electric vertical takeoff and landing (eVTOL) industry is facing a financial crunch and companies are actively seeking new investments to support their operations and development.
As per Volocopter, “Despite recent intensive fundraising efforts, finding a viable solution to maintain regular operations outside of insolvency proceedings has not been possible.”
Volocopter had been aiming to enter the market in 2025 with its two-seater “Volocity” electric air taxi model. However, it suffered a setback when it had to cancel test flights in Paris during this summer’s Olympics at short notice. It was so because the certification for its aircraft engine didn’t come through in time.
In December, Volocopter said that the Volocity model had fulfilled 75 percent of the criteria required by the European Union’s Aviation Safety Agency (EASA). However, it seems that it’ll still take another few years before Volocopter fully enters the commercial market.
