Electric Aircraft Developer Eviation Lays Off Most of Staff

Battery-electric aircraft developer has struggled to raise money to fund its regional commuter model, designed for two crew and as many as nine passengers.

Eviation Alice electric aircraft

Eviation’s all-electric Alice makes its first and only test flight in 2022. [Courtesy: Eviation]

Electric aviation’s prospects took a hit last week after a leading developer paused work on its prototype aircraft.

Eviation laid off the majority of its staff and halted development of its all-electric Alice, designed for two crew and as many as nine passengers. Sources told The Air Current that the headcount reduction comes as the manufacturer struggles to secure funding to keep the project alive. Andre Stein, CEO of Eviation, confirmed the layoffs in a statement and said the company is focused on finding “the right opportunities.”

Founded one decade ago, Eviation unveiled its first one-quarter-scale Alice prototype, “The Orca,” at the 2017 Paris Air Show. At the 2019 event, it revealed the first full-scale prototype of the regional commuter aircraft. Since then, though, the model has undergone more redesigns (two) than test flights.

Alice was conceived as a middle-mile aircraft, designed for short-hop, city-to-city flights spanning about 250 nm. Its two electric engines produce zero emissions. According to the company, they are cheaper, quieter, and require less maintenance than combustion engines. The aircraft can carry nine passengers or up to 2,500 pounds of cargo, with a top speed of 260 ktas.

Per its website, Eviation has taken more than 600 orders for Alice, including from DHS Express, Air New Zealand, and GlobalX.

Stein told The Air Current that pausing development on Alice would give Eviation “time to explore strategic opportunities.” He said the program would not be fully shut down but did not elaborate further.

According to SMG Consulting’s Advanced Air Mobility (AAM) Reality Index, which tracks investments in manufacturers of electric and other AAM aircraft, Eviation has received $200 million in funding. Its last funding raise was in 2019.

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Jack is a staff writer covering advanced air mobility, including everything from drones to unmanned aircraft systems to space travel—and a whole lot more. He spent close to two years reporting on drone delivery for FreightWaves, covering the biggest news and developments in the space and connecting with industry executives and experts. Jack is also a basketball aficionado, a frequent traveler and a lover of all things logistics.

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