Toyota becomes top shareholder in Santa Cruz-based air taxi maker Joby
3 minute readPublished: Thursday, May 29, 2025 at 1:34 pm
Toyota Soars as Top Shareholder in Air Taxi Startup Joby Aviation
Toyota Motor Corp. has significantly deepened its investment in Joby Aviation Inc., the Santa Cruz-based company developing electric air taxis. The Japanese auto giant has injected an additional $250 million into Joby, fulfilling the first half of a previously announced $500 million commitment. This move solidifies Toyota's position as Joby's largest shareholder, with a 15.3% stake, surpassing even Joby CEO JoeBen Bevirt.
The investment, originally slated for completion in 2024, is part of Toyota's broader commitment to invest a total of $894 million in Joby. The second tranche of the $500 million commitment is expected to close later this year.
The news sent Joby's stock soaring, with shares jumping 25% to $8.57 on Wednesday morning in New York. This brings the stock's year-to-date gains to 3.7%. Joby is one of several companies racing to develop eVTOL (electric vertical takeoff and landing) aircraft, aiming to offer short-distance commuter flights using battery-powered air taxis.
Toyota's CEO of North America, Tetsuo Ted Ogawa, emphasized the strengthened partnership between the two companies. Joby recently announced its plans to launch commercial services in Dubai by early 2026, shifting from its previous target of late 2024. However, certification from the US Federal Aviation Administration and other international regulators is still pending. Toyota's involvement with Joby dates back to 2020, with its venture capital arm participating in an earlier funding round in 2018.
BNN's Perspective: This investment signals a significant vote of confidence in the future of eVTOL technology. While the timeline for commercial operations remains subject to regulatory approvals, Toyota's commitment suggests a long-term belief in the potential of air taxis to reshape urban transportation. The partnership also highlights the evolving landscape of the automotive industry, with traditional carmakers increasingly investing in innovative technologies like electric aviation.
Keywords: Toyota, Joby Aviation, air taxi, eVTOL, electric vertical takeoff and landing, investment, shareholder, stock, funding, Dubai, commercial services, JoeBen Bevirt, Tetsuo Ted Ogawa, Santa Cruz, California, Bloomberg, automotive industry, electric aviation