Toyota is boosting its investment in Joby Aviation with an additional $500 million to support the air taxi startup’s efforts to certify and commercially produce its electric vertical takeoff and landing (eVTOL) aircraft. This latest funding brings Toyota’s total investment in Joby to $894 million since 2018.
The automaker’s investment will be delivered in two $250 million installments, with the first to be completed this year and the second in 2025. Toyota will also form a manufacturing partnership with Joby for the first phase of its commercial operations. The companies previously agreed in 2023 that Toyota would produce powertrain components for Joby’s air taxis.
Founded in 2009 by JoeBen Bevirt, California-based Joby Aviation remained relatively quiet until 2018, when it secured a $100 million funding round with participation from Intel, Toyota, and JetBlue. This funding helped Joby develop its prototype aircraft and conduct private test flights in Northern California. Impressed by the progress, Toyota sent engineers to collaborate with Joby.
Joby’s all-electric air taxi features six rotors and seats five, including the pilot. Capable of vertical takeoff like a helicopter, it transitions to forward flight using tilt rotors. The aircraft boasts a top speed of 200 mph, a 150-mile range on a single battery charge, and is reportedly 100 times quieter than traditional aircraft.
Joby recently showcased demonstration flights in Manhattan and aims to begin commercial passenger services in cities like New York and Los Angeles by 2025.