Defunct electric aircraft startup Lilium’s technology lives on in Archer

Electric airplane startup Lilium may have ceased operations a year ago, but filing for bankruptcy wasn’t the end for the Germany-based company.

Several attempts to restructure the company failed, including a last-ditch effort by Mobile Uplift Corporation, founded by investors from Europe and North America, to acquire the operating assets of two of the start-up’s subsidiaries. Ultimately, the bankruptcy trustee submitted the company’s assets to a competitive bidding process.

Some of the company’s technology will now be handed over to Archer Aviation, which has outbid Ambitious Air Mobility Group and US-based Joby Aviation for all 300 Lilium patent assets for 18 million euros ($21 million). Joby confirmed that he had participated in the bidding.

Lilium, founded in 2015, was developing a vertical takeoff and landing aircraft with a top speed of 100km/h. The company raised more than $1 billion from investors and went public on the Nasdaq in 2021 through a merger with special acquisition company (SPAC) Kel. Although the company had success attracting high-profile investors like Tencent and locking in customers, including an order for 100 electric jets from Saudi Arabia, it ran out of money long before it could deliver a product.

The patents cover key eVTOL (electric vertical take-off and landing) technologies, including high-voltage systems, flight controls, ducted fans and advanced aircraft designs, an Archer spokesperson said. The new patent is a “powerful addition” to Archer’s growing intellectual property portfolio, which currently totals more than 1,000 global patent assets, a spokesperson said in an email.

It’s not entirely clear what Archer plans to do with these patents, but there are hints. Lilium’s electric ducted fans will be suitable for light sports and regional electric flight applications. This goes beyond Archer’s original mission.

Archer, which went public in 2021 through a merger with a SPAC, initially focused on developing an air taxi network. The company added defense programs in December, including an exclusive agreement with weapons maker Anduril to co-develop a hybrid gas- and electric-powered VTOL aircraft for critical defense applications.