Tech CEO on the Future of Travel & Technology w/ Adam Goldstein | EP #82
Jan 26, 2024
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Adam Goldstein, Founder and CEO of Archer Aviation, shares insights on the future of urban transportation with a focus on electric air taxis. He discusses the revolutionary 'Midnight' aircraft designed for quick city commutes, tackling regulatory hurdles and safety measures needed for integration. Goldstein highlights the balance between automation and the necessity for pilots, envisioning a future where air mobility becomes both affordable and accessible. With ambitions for operational flights by 2025, he emphasizes strategic partnerships and innovation as keys to success in this evolving industry.
Archer Aviation is working towards revolutionizing transportation with electric air taxis, offering a faster and more efficient alternative to ground trips in congested urban areas.
Advancements in battery technology and lightweight materials make electric air taxis feasible, with longer flights, quick recharging, and improved energy consumption.
Scaling manufacturing, adapting regulatory frameworks, and fostering collaborations are crucial for the widespread adoption of electric air taxis as a mass-market form of transportation.
Deep dives
Archer Aviation: Making Electric Air Taxis a Reality
Archer Aviation, led by CEO Adam Goldstein, is on a mission to revolutionize transportation with electric air taxis. These electric vertical takeoff and landing (EV-TOL) aircraft operate similarly to helicopters but with wings, allowing for efficient forward flight. Archer plans to use these vehicles to replace ground trips in congested urban areas, reducing travel times significantly. Initially, the price per mile will be similar to that of an Uber Black, but over time, as technology advances and scalability increases, the cost is expected to be lower than car ownership. The vehicles are designed with safety in mind, featuring redundant systems and zero single points of failure. With electric engines and advanced battery technology, maintenance will be simpler compared to traditional helicopters. Archer's first commercial flight is targeted for 2025, with plans to operate in cities like New York City and expand internationally to places like India and Africa. The company envisions a future where millions of these vehicles are flying, transforming transportation and providing a viable alternative to road-based commuting.
Technological Advancements Enabling Electric Air Taxis
Archer attributes the feasibility of electric air taxis to advancements in battery technology and lightweight materials. Lithium-ion batteries have become increasingly energy-dense, allowing for longer flights and more frequent trips. The ability to recharge the batteries quickly and the continuous improvement in battery performance contribute to the viability of electric air taxis. Additionally, the use of lightweight composite structures in the aircraft reduces energy consumption and increases payload capacity. These technological advancements, combined with the simplicity and efficiency of electric engines, make electric air taxis a promising transport solution.
Challenges and Opportunities in Scaling Electric Air Taxis
The scale and adoption of electric air taxis will present significant challenges and opportunities. Scaling manufacturing to meet demand is a crucial aspect, with targets set at producing thousands of aircraft per year. International markets, particularly in countries like India and Africa where road infrastructure is limited, offer great potential for electric air taxis. However, regulatory frameworks and air traffic control systems will need to be adapted to accommodate the increase in air traffic. Collaborations between industry leaders, regulators, and automakers will be instrumental in shaping the future of urban air mobility. Despite the challenges, the transformative potential of electric air taxis in terms of accessibility, efficiency, and environmental impact makes it a promising mode of transportation.
Archer's Vision for the Future of Transportation
Archer aims to establish electric air taxis as a mass-market form of transportation. By leveraging existing infrastructure, partnering with established companies like Stellantis (formerly FCA), and integrating with ride-hailing services like Uber, Archer envisions a future where electric air taxis are accessible and affordable for everyday use. Beyond commuting, the company sees opportunities for specialized services such as medical supply deliveries and remote area transportation. Archer's focus on safety, simplicity, and design aims to create a new era of transportation that revolutionizes the way people travel and opens up new possibilities for urban and regional connectivity.
Building a Real Business in the Aviation Industry
Adam Goldstein, founder and CEO of Archer, shares his journey of starting a company in the aviation industry. After working as an investment banker and later venturing into tech companies, he found his passion in the electrification of transportation. Goldstein emphasizes the importance of building a business model around the vehicle, rather than focusing solely on R&D. He highlights the need to demonstrate operations, profitability, and a clear vision to attract both investors and top talent. Goldstein also stresses the significance of timing, ensuring the market is ready to embrace new technologies.
Partnerships and Scaling for Success
Archer's approach to partnerships and scaling sets them apart. Instead of following traditional aviation companies, Goldstein drew inspiration from Apple's relationship with Foxconn. Archer partnered with Stellantis, a leading automotive company, leveraging their logistical expertise and supply chain management. This strategic partnership allows Archer to focus on design and engineering while benefiting from Stellantis' manufacturing capabilities. Goldstein outlines the importance of mass production and building a real business, rather than just protecting intellectual property. By hitting production and proving the market demand, Archer aims to scale operations and achieve long-term success.
In this episode, Peter and Adam discuss the future of transportation, when we’ll have flying cars, and how vehicle technology will evolve in the coming years.
17:28 | Ready for the Driverless Sky?
30:17 | The Future of Urban Transportation
1:03:23 | Disrupting the Aerospace Industry
Adam Goldstein, founder and CEO of Archer since October 2018, previously led Vettery from 2012 to 2019 and served as Co-Managing Partner at Minetta Lane Capital Partners. His career includes roles as Portfolio Manager at Plural Investments and Senior Analyst at Cedar Hill Capital Partners. Goldstein, a board member of the Museum of American Finance, holds a B.S. in Business Administration from the University of Florida and an M.B.A. from NYU Stern School of Business.
Archer’s goal is to transform urban travel, replacing 60–90-minute commutes by car with estimated 10-20 minute electric air taxi flights that are safe, sustainable, low noise, and cost-competitive with ground transportation. Archer’s Midnight is a piloted, four-passenger aircraft designed to perform rapid back-to-back flights with minimal charge time between flights.
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