Wisk and Archer, the River air taxi startups, reportedly settle their trade secret theft lawsuit. Back in 2021, Wisk sued Archer, allegedly over stolen trade secrets that are related to its electric air taxis. And right now according to reports, they have settled the dispute.
Wisk and Archer Trade Secret Theft Lawsuit
Wisk and Archer, which as you should know are two leading air taxi startups, have finally settled their legal dispute over allegations of stolen trade secrets, thus avoiding a jury trial that would have reportedly cast a negative light on the emerging aviation technology sector.
Wisk which is a wholly owned subsidiary of Boeing, reportedly sued Archer back in 2021 for allegedly stealing its trade secrets and then also infringing on its patents. A judge then sent the lawsuit to trial back in June, but at the moment, the two sides in question have now settled the dispute.
Wisk stated that it will become the exclusive provider of autonomous flying technology to Archer, should in the event that Archer decides to pursue a self-flying aircraft. Boeing will however invest in the private investment in public equity (PIPE) financing that Archer released just recently (a couple of days back) as part of its second-quarter earnings report. And Wisk on the other hand will receive shares in Archer as part of the investment of Boeing in the company’s $215 million PIPE.
What Wisk Has To Say about the New Development
“We are pleased to have reached a mutually agreeable settlement with Archer that resolves our concerns while also eliminating the need for a costly and distracting trial,” Wisk in a statement stated. Wisk is committed to working collaboratively within the industry and leading in autonomous passenger flight.”
Wisk was formed in the year 2019 as a joint venture between Boeing and Kitty Hawk, the flying taxi company that is bankrolled by Google co-founder Larry Page that just recently shut down. The Mountain View which is a California-based company is in a race to become the very first advanced air mobility company to get approval from the FAA for passenger testing. The aircraft of Wisk, which is an all-electric four-seater, can fly without a human pilot and it is the very first electric vertical takeoff and landing (eVTOL) candidate for type certification.
The Content of the Lawsuit
Archer, which is a company that is based in Santa Clara, California, came out of stealth back in the spring of 2020 after having poached key talent from Wisk and Airbus’ Vahana project. But in its lawsuit, the company (Wisk) argued that Archer did not just steal talent but it also stole trade secrets. Wisk also accused Archer of misappropriating “thousands of highly confidential files containing very valuable trade secrets, as well as the use of significant innovations Wisk has patented.” Archer referred to the lawsuit “regrettable” and then denied the allegations that the company had stolen the intellectual property of Wisk.
Wisk Hopes To Launch an Air Taxi Service Soon
Wisk has stated that it hopes to launch an air taxi service within the next five years, at which point the company predicts conducting 14 million flights yearly in around 20 major markets around the world.
Air taxis, which are sometimes misidentified as “flying cars,” are essentially helicopters without all the noisy, polluting gas motors (although they certainly have their very own unique noise profile). And in addition to Wisk, companies such as Joby Aviation, Volocopter, Ehang, and even Archer have claimed that they are on the cusp of launching services that will get to scale up nationwide eventually.
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