Toyota Motor Corporation (NYSE: TM) is injecting $500 million into Joby Aviation (NYSE: JOBY) to advance its air mobility initiatives. This capital will aid in certifying and commercially producing Joby’s electric air taxis for commercial passenger service. The investment unfolds in two stages: the initial phase will close this year, while the second will close in 2025.
Senior executives from both firms cemented this collaboration through a formal agreement at Toyota’s regional base in Plano, Texas. The investment, pending regulatory green lights, will bolster Joby’s efforts, bringing Toyota’s cumulative investment in the firm to $894 million. This partnership reflects a broadened focus on shared plans for sustainable air travel solutions.
Joby Aviation has taken significant steps towards airline readiness, recently launching its third aircraft from its Marina, California plant. An upcoming facility expansion promises to more than double its production capacity. In August 2024, Joby confirmed it has completed over one-third of the FAA’s required steps towards certification, a crucial milestone in their timeline.
As Toyota enhances its investment, it remains steadfastly dedicated to sustainable aviation and continues to leverage its production methodologies to aid in Joby’s manufacturing processes. Toyota engineers are actively collaborating with the Joby team in these endeavours.
Toyota’s association with Joby began with Toyota Ventures’ strategic investment, identifying promising technologies and startups. This strategic partnership has since grown, demonstrating a commitment to transformative mobility. Toyota’s involvement goes beyond capital, melding its production savvy with Joby’s engineering excellence to realize the future of air travel.
The fresh infusion of funds will further intertwine both companies as they navigate regulatory seas to establish commercial production. Together, their mission is clear: pave the way for the next era of personal and urban transportation by air. Photos and video content from the signing ceremony are available for public viewing.
This move strengthens Toyota’s stake in air mobility and affirms its long-term vision to drive innovation beyond traditional automotive boundaries. Toyota and Joby are poised to make airborne commuting a viable option, bringing a new dimension to everyday travel.
In February, Joby Aviation signed a definitive agreement with Dubai’s Road and Transport Authority (RTA) to launch air taxi services in the Emirate by early 2026.
