The burgeoning advanced air mobility business received a further boost this week with a pair of respective investment commitments from U.S. major airlines American and Delta in “green” hydrogen power and one of the industry’s most mature eVTOL projects.
American Airlines has made an equity investment in Universal Hydrogen, the California-based company building a green hydrogen distribution and logistics network for aviation. The October 10 announcement follows an agreement in August under which the carrier provisionally agreed with Universal's competitor ZeroAvia to convert up to 100 regional jets with its hydrogen propulsion system.
Universal Hydrogen’s business plan involves a hydrogen fuel cell powertrain that it will use to convert regional airliners such as the de Havilland Dash 8 and ATR 72 twin turboprops. Its concept calls for the supply of green hydrogen to airports in capsules fitted directly into a compartment at the rear of the aircraft fuselage, eliminating the need for new fueling infrastructure and speeding fuel-loading operations. The company expects to fly its first hydrogen-powered Dash 8 by the end of this year.
Universal Hydrogen anticipates starting hydrogen deliveries for regional aircraft in 2025, followed by deliveries for larger, single-aisle aircraft, first for auxiliary power in the late-2020s and then as a primary fuel by the mid-2030s. It already has entered an agreement with startup U.S. regional carrier Connect Air.
“This technology has the potential to be a game-changer on the industry’s path to zero-emission flight,” said American Airlines chief financial officer Derek Kerr. “As the world’s largest airline, American has a responsibility to exercise leadership in making aviation sustainable. Our investment in Universal Hydrogen represents a vote of confidence for green hydrogen as a key element of a sustainable future for our industry.”
American joins Airbus Ventures, GE Aviation, Toyota Ventures, JetBlue Ventures, and several major hydrogen producers and aircraft lessors as strategic investors in Universal Hydrogen. It has not disclosed the dollar value of its investment in the company.
For its part, Delta Air Lines on Tuesday revealed plans to invest $60 million in eVTOL aircraft developer Joby as part of a deal expected to lead to the launch of what the companies call “home-to-airport transportation” for airline passengers. Plans call for Joby to operate services beginning in New York City and Los Angeles, giving Delta’s customers access to a “seamless booking” service.
Under an agreement, Delta will make a further $140 million investment in Joby subject to the program reaching further unspecified “milestones.” The partners did not say when services will begin, but Joby aims to complete FAA type certification for its aircraft in 2024.
Joby expects its aircraft to fly to a range of 150 miles at speeds up to 200 mph. The FAA has already granted the California-based company its G-1 (Stage 4) certification basis approval and a Part 135 air carrier certificate, which allows it to operate commercial flights.
“Delta is differentiating and amplifying the customer experience with premium products, choices, and solutions across the journey,” said Allison Ausband, the airline’s executive vice president and chief customer experience officer. “Addressing what matters to our customers is foundational to our focus, and our work with Joby is the latest in a series of ways we’re making the experience of travel more seamless, enjoyable, and wait-free.”
By comparison with rivals such as American Airlines, United Air Lines, and Virgin Atlantic, Delta until now remained relatively quiet about its intentions in the advanced air mobility sector. In March 2022, the carrier did sign a memorandum of understanding to participate in Airbus's plans to develop hydrogen-powered airliners by the mid-2030s.