Soracle, a new joint venture between Japan Airlines and trading group Sumitomo, plans to operate Archer Aviation’s four-passenger Midnight eVTOL aircraft in Japan. California-based Archer announced Thursday that Soracle has signed a provisional sales agreement covering orders for up to 100 Midnight aircraft.
The Soracle deal, worth a potential $500 million, includes pre-delivery payments that will be contingent on certain milestones that Archer must achieve ahead of the deliveries.
Although Archer and Soracle did not specify a timeline for the launch of commercial air taxi services using the Midnight aircraft in Japan, the companies announced plans for demonstration flights at the 2025 World Expo, which will take place in Osaka between April and October. Timing is contingent on getting type certification and other approvals from Japan's Civil Aviation Bureau.
Established in June 2024, Soracle aims to launch a network of eVTOL air taxi routes connecting major Japanese cities such as Tokyo, Osaka, Nagoya, Hokkaido, Setouchi, and Okinawa.
“Through the operation of eVTOL aircraft, Soracle aims to enrich lives and society by creating more accessible air transportation services in Japan,” said Soracle CEO Yukihiro Ota. “We will provide safe and reliable services to passengers by making the most of the wealth of knowledge we have accumulated at Japan Airlines and Sumitomo Corporation.”
Sumitomo is a global trading company based in Tokyo with expertise that spans multiple industries, including transportation, construction, real estate, mining, manufacturing, energy, and telecommunications. The company has been involved with the advanced air mobility sector since 2020, when it signed a memorandum of understanding with Japan Airlines and Bell to develop the concept of “mobility as a service.”
Last year, Japan Airlines announced a collaboration with California-based eVTOL air taxi developer Wisk Aero to introduce autonomous, pilotless air taxi flights to Japan. The airline has also been collaborating with and investing in German eVTOL manufacturer Volocopter to support urban air mobility operations in Japan, and it previously announced plans to lease or purchase up to 100 eVTOL aircraft from U.K.-based Vertical Aerospace.
Archer said it has already begun discussions with the Japanese Civil Aviation Bureau (JCAB) about certifying the Midnight aircraft for commercial operations in Japan. The company expects to have the Midnight aircraft in service in the U.S. and the UAE in late 2025.
Reporting its quarterly financial results on November 7, Archer said its order book for the Midnight aircraft is now worth more than $6 billion, including a mix of letters of intent and firm, deposit-backed orders. The company also noted that its Midnight factory in Covington, Georgia, is set for completion in the coming weeks. The $65 million factory will begin producing aircraft in early 2025, and Archer is targeting a production rate of two aircraft per month by the end of the year.
Last week, Archer's rival Joby conducted a public flight demonstration with its four-passenger eVTOL aircraft in Japan. It is being strongly supported by leading investor and manufacturing partner Toyota Motor Corporation.