Archer Aviation and Boeing announced today that they have signed definitive agreements for the former to acquire the latter’s Wisk Aero, SkyGrid, and Insitu subsidiaries. Boeing will also take a stake in Archer and enter into a collaboration and technology-sharing arrangement with the company.

Archer said the acquisition combines complementary capabilities in autonomy, eVTOL, and UAS developed over decades by the three subsidiaries, which they say will create a “groundbreaking” end-to-end physical AI platform for aerospace and defense. The company said the deal adds a defense business generating more than $200 million in annual revenue, based on Insitu's current financials and estimates, with operations across 35 countries.

Wisk has designed, built and flown six generations of eVTOL aircraft over 16 years, amassing more than 1,700 flight tests, the companies said. SkyGrid has developed a ground-based, aircraft-agnostic air traffic management platform intended to support automated airspace integration.

Insitu designs, develops and manufactures uncrewed aircraft systems for intelligence, surveillance and reconnaissance applications, according to the release. The company said Insitu has manufactured and fielded more than 3,500 UAS and has supported armed forces in 35 nations, with offices in the United States, Australia, the United Kingdom and the United Arab Emirates.

Archer said the combined autonomy foundation from the three subsidiaries, along with nearly two million combined flight hours, will feed into ZEE, the company's AI foundation model for aerospace and defense.

"This is a watershed moment for Archer and the future of physical AI in aerospace and defense," said Adam Goldstein, Archer's founder and CEO, in the release. "This is the next big step forward in becoming a diversified platform, rapidly growing our revenue base and bringing scale to our business."

Under the collaboration arrangement, Boeing will retain access to Wisk's core autonomous flight technology for use in its current and future commercial and defense aircraft.

"This transaction is a win-win for Boeing and Archer," said Brian Yutko, Boeing vice president of commercial airplanes product development, in the release. "It allows Wisk, SkyGrid and Insitu to accelerate capability development and time to market while ensuring Boeing capitalizes on its investments in these technologies over the past two decades through continued development in our core businesses."

The transaction is subject to closing conditions, including the expiration or termination of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act, and is expected to close by the end of 2026.