Archer Aviation strikes deal to supply electric propulsion system to Anduril, bolstering its path to revenue
Archer Aviation announced its new agreement with Anduril after the market closed on Monday.
Air taxi maker Archer Aviation on Monday announced a deal to supply private defense contractor Anduril with its electric power train, marking the first time Archer will make that tech available to a third party.
The deal will help bolster a path to revenue for Archer, which recently said it expects to start generating revenue in Q1 of 2026.
“While most see our Midnight eVTOL as an aircraft, we view Midnight as a platform that plays host to a wide range of new and exciting aerospace technologies that will be leveraged way beyond our own aircraft,” Archer CEO Adam Goldstein said in a statement. “Our power train deal with Anduril is the first of what we expect to be many examples of this.”
According to the announcement, Archer’s power train tech will be used on Anduril’s autonomous “hover-to-cruise” drone, Omen. Anduril announced the vehicle last week as the first product to come out of its joint venture with the UAE’s defense conglomerate, EDGE Group, targeting 2028 for full-scale production. The companies say the UAE has “committed to an initial acquisition of 50 Omen systems.”
In an interview with Sherwood News in July, Goldstein said he believes the company’s defense business could be larger than its commercial air taxi business for at least the next decade.
Archer shares have fallen about 24% since the beginning of the year.
