Air-taxi maker Archer Aviation said on Thursday it has raised $430 million in fresh capital, part of which will be used to develop a hybrid aircraft with defense tech company Anduril Industries.

Funding to defense tech companies has boomed in 2024 as geopolitical tensions rise, advancements in AI abound, and investors seek out a new growth area

Archer Aviation and Anduril Industries announced that they're partnering on the development of a next-generation VTOL aircraft that could be used by the U.S. military.

Emerging American defense contractor Anduril and U.S.-based eVTOL startup Archer Aviation this morning announced an exclusive new partnership to jointly develop a hybrid VTOL aircraft for critical defense applications,

Anduril, the company with which Archer is collaborating on the project, received a $14 billion valuation in its most recent funding round. It makes a range of defense systems including drones and trucks. In August, Anduril detailed plans to build a new factory that will expand its manufacturing capacity by more than five million square feet.

By Anshuman Tripathy (Reuters) -Air-taxi maker Archer Aviation said on Thursday it has raised $430 million in fresh capital, part of which will be used to develop a hybrid aircraft with defense tech company Anduril Industries.

Anduril and Archer (NYSE: ACHR) announced an exclusive partnership to jointly develop a hybrid VTOL aircraft for critical defense applications targeting a potential program of record from the DOD. This press release features multimedia.