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United Airlines plans to buy 200 flying electric taxis to transport passengers to the airport within the next five years while investing in flying taxi firm Archer in a $1.1 billion deal to develop the aircraft.
However, regulatory approval for the aircraft is required before the purchase can go ahead.
United Airlines will team up with Mesa Airlines, a US regional carrier, to acquire Archer's electric vertical take-off and landing (eVTOL) aircraft. Other investors in Archer include carmaker Stellantis.
Under the deal, United and Mesa have the option to buy another $500 million worth of aircraft.
The California-based Archer plans to launch its shares on the US stock market following the deal.
Archer's flying taxis would be capable of flying a distance of 60 miles at 150 miles an hour while nearly cutting in half carbon dioxide emissions for passengers traveling to the airport.
