In one of Silicon Valley's most dramatic turnarounds, Archer Aviation has acquired Wisk Aero, the company it once accused of "brazen theft" of trade secrets. According to TechCrunch, Boeing is sweetening the deal by handing over Wisk, along with software firm SkyGrid and drone maker Insitu, in exchange for newly issued shares that will give the aviation giant a 16.5% stake in Archer.
Three years ago, these companies were locked in a bitter patent lawsuit. In April 2021, Wisk alleged intellectual property theft; Archer filed a $1 billion countersuit. Instead of fighting to the finish, they settled and began working together. Now they are merging.
The acquisition reflects the cutthroat race to dominate autonomous flying taxis. Sebastian Thrun, the Google co-founder and X Moonshot Factory veteran who launched Kittyhawk (Wisk's predecessor), envisioned self-flying air taxis that Boeing backed with hundreds of millions of dollars. The autonomous eVTOL space has become intensely competitive, with engineers, capital, and regulatory uncertainty all at stake. By acquiring Wisk's autonomous capabilities, including its exclusive autonomous provider agreement, Archer gains technical credibility in a winner-takes-most market.
Boeing's move signals a strategic shift. The aerospace company is doubling down on urban air mobility by backing a startup rather than developing independently. Archer, which raised $430 million in December 2024 and has expanded into defense, is now the most well-funded consolidated player in the space.
The Wisk-Archer feud felt unnecessary when both companies pursued the same goal. Now they are merged, Boeing owns a 16.5% stake, and the race to market just accelerated. The remaining question is whether they can build and deploy the aircraft before regulators impose restrictions.
