Archer and Atlas put a $3.8 billion value on
the deal, which sent Atlas shares up 22%.
Archer’s aircraft are designed to fly under
battery power for up to 60 miles (97 kilometers)
at speeds of up to 150 mph (240 kph).
The company plans to launch service in
congested areas close to airports. United
estimated the air taxis could shuttle people
from Hollywood to Los Angeles International
Airport at about half the carbon emissions
per passenger.
Cowen analyst Helane Becker said United could
use Archer’s aircraft could operate between
New York City and United’s hub operation at
Newark Liberty Airport in New Jersey, or from
downtown Chicago to O’Hare Airport, allowing
airline customers to avoid traffic.
Chicago-based United portrayed the move as
part of a broader plan to invest in technology
behind cleaner modes of air travel. CEO Scott
Kirby said Archer’s design “has the clear potential
to change how people commute within major
metropolitan cities all over the world.”
Aviation is a small contributor to greenhouse
gases that cause climate change, but its share
of the problem is growing rapidly. Many airlines
including United have made investments in
biofuel, but limited supplies are likely to hinder
wider use of such alternatives to jet fuel for
many years.
In December, United pledged to offset all its
carbon emissions by 2050 in part by investing
in technology to remove carbon from the air
and bury it.