Charles Alcock is managing editor of the AIN Media Group, having rejoined the company in 2019. He has been an aviation journalist since 1986, and previously worked for AIN from 1990 to 2017, most recently as editor-in-chief. His main focus is on covering new aviation technology and business models, as well as international news.
Having been raised in the London area, Alcock studied at the University of Manchester in the UK and earned an honors degree in Politics and Modern History. He speaks English and French, and some German.

Managing Editor

Uber Technologies is offloading majority ownership in its Advanced Technologies Group to automated vehicle group Aurora. The deal, which was&nbsp;announced on December 7, has further fueled speculation that Uber is also close to selling or partially divesting its Uber Elevate urban air mobility division (UAM) in a bid to stem ongoing losses.
The full terms of the equity swap deal with self-driving-technology group Aurora have not been disclosed, but Uber has confirmed it will invest a further $400 million in ATG and retain a 26 percent stake. According to reports in Reuters, the settlement values ATG at around $4 billion, which represents a steep drop from the $7.25 billion valuation in 2019 when the company raised $1 billion from investors, including Toyota Motor Corp and SoftBank Group Corp.
Uber CEO Dara Khosrowshahi, said the transaction with Aurora will help the group to achieve profitability on an adjusted basis by the end of 2021. He will take a seat on the board of Aurora.
Last month, Uber reported third-quarter losses of $1.09 billion on revenues of $3.13 billion, with its Rides passenger business taking a hit in the wake of the Covid pandemic, while its Delivery operations grew. In September, the group refinanced $500 million in debts by selling bonds due in 2028 at an interest rate of 6.25 percent to settle notes due for repayment in 2023 at 7.5 percent. &nbsp;
Meanwhile, Uber Elevate has steadfastly declined to comment on persistent rumors that the UAM division will soon be sold or otherwise restructured through a similar partnership arrangement. Joby Aviation, the eVTOL aircraft developer widely rumored to be the front runner to take control, also said it has no comment to make on the situation.
However, a well-connected industry source close to both companies told&nbsp;FutureFlight&nbsp;early on December 8 that an announcement about the sale is expected imminently. He predicted that Joby will be announced as the new owner or majority shareholder in Uber Elevate.&nbsp;
California-based Joby is one of eight manufacturing partners selected by Uber to provide aircraft for its planned Uber Air air taxi services, which are due to begin on a trial basis in Los Angeles and/or Dallas in 2023 or 2024. Another partner, Hyundai, is also understood to be in the frame to acquire all or part of Uber Elevate.
Joby’s 10-year effort to establish itself as a leader in the UAM sector was boosted at the start of the year with the completion of a $590 million Series C funding round that was mainly backed by Toyota Motor Corp’s $493 million investment. Perhaps significantly, Joby has previously indicated that it has ambitions to establish its own eVTOL operating unit. 
Hyundai unveiled a scale model of its planned S-A1 aircraft at the Consumer Electronics Show in January. The Korean automotive group has committed $1.5 billion to break into the UAM sector through a newly established subsidiary based in the U.S. It appears to have the financial means and strategic motive to buy into Uber Elevate.
If either Joby or Hyundai was to emerge with a controlling interest in Uber Elevate, the other partners would likely reconsider the terms under which they remain part of the planned program in the face of an apparent conflict of interest. The other remaining partners are Bell, Boeing (though its Aurora Flight Sciences subsidiary), EmbraerX, Jaunt Air Mobility, Overair (formerly Karem Aircraft), and Pipistrel. 
During 2020, several of these companies appeared to be making their own plans to develop operating models in an apparent sign that they are not building their business models entirely on Uber. Several prospective manufacturers seem to want to be directly involved in operating their aircraft, rather than selling them to established operators.
For instance, earlier this month, Embraer’s new Eve Urban Air Mobility Solutions subsidiary announced a partnership with air traffic management group Airservices Australia to work on a concept of operations for eVTOL air taxi services. The new division, which was announced in October, is developing a four-seat all-electric aircraft. In November, it announced a separate partnership through which energy group EDP will help to fund the acquisition of energy storage and battery charging technologies. 
In October, Jaunt Air Mobility announced its own partnership with PS&amp;S and Price Systems to develop ground infrastructure to support flights with its planned family of eVTOL aircraft. Starting with plans to build vertiports, the partners intend to extend their Access Skyways project to cover all aspects of UAM service provision.
Back in May, Slovenia-based Pipistrel confirmed that it is slowing development of its planned passenger-carrying 801 eVTOL model, preferring to prioritize plans for a pair of new cargo aircraft and a larger regional airliner. Nonetheless, it has indicated that it remains open to participating in Uber Air, despite the fact that the 801 is now not expected to be ready to enter service until 2028.
“Changes to the company’s priorities have come after delays with the Uber flying taxi program by many international authorities,” the company said in a statement. “Continual extensions to the deadline for the development of a flying taxi service, which was commissioned by U.S. company Uber has given Pipistrel the time to investigate future opportunities, some [of which] have been in planning and development for several years.”
In February, Bell signed a memorandum of understanding with Japan Airlines and Sumitomo Corporation to jointly develop plans for what it described as “Mobility as a service.” The agreement will focus on developing the infrastructure and regulatory compliance to support plans to launch on-demand air mobility services using Bell’s in-development Nexus 4E eVTOL aircraft.
The status of Aurora Flight Sciences' plans is less clear after Boeing’s surprise announcement in September that it is closing its Boeing NeXt innovation division. For now, Boeing intends to keep its holding in both Aurora and its Wisk joint venture with Kitty Hawk. Aurora has been working on an eVTOL design called simply Passenger Air Vehicle, but has said little about where this program stands since an accident during test flights last year.
Since early in 2020, Overair, a spin-off venture from Karem Aircraft, has been quietly working on plans to develop the Butterfly eVTOL design. Korean industrial group Hanwha Systems invested $25 million to acquire a 30 percent stake in the company. It has said almost nothing about how much progress has been made towards an initial goal of being ready for the launch of Uber Air services in 2023.
Amid the speculation over the envisaged Uber Elevate sale or spin-off, which so far has been based only on unnamed sources, some observers have questioned what a prospective purchaser would actually be acquiring. The company has spent much of the past four years cheerleading for the UAM concept&nbsp;while also investing the expertise of its around 80-strong team to advance plans for the complex ecosystem required to support commercial services. There is no doubt that Uber has recruited an exceptionally experienced cohort of engineers and transportation planners to add further value to its proven ride-booking application. 
Meanwhile, it seems less likely that Uber may not have an uncontested run at the U.S. advanced air mobility market. Last month, German eVTOL developer Lilium announced plans to start building a regional mobility network in Florida, with an initial base at Lake Nona near Orlando.&nbsp;
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Charles Alcock

Uber Elevate has selected eight partners to provide aircraft for its planned Uber Air services, but will all of them stay onboard if one of the group takes a controlling stake in the venture? (Image: Uber)

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