President Director of PT IAMI Troy Evelon Pomalingo said the investment plan for the electric aircraft industry had been agreed upon by signing a memorandum of understanding between PT Kawasan Industry Tanjung Buton and PT IAMI.

“The initial investment value is approximately US$10 billion. He can extend up to 40 billion US dollars. At the end of the day, our workforce is around 18 thousand. All of that already has a blueprint," said Troy quoted Thursday (10th of November 2022).

IAMIs The eVTOL company has said it wants to start mass-producing its Morrow’s aircraft with two versions of 4 seats (UAM) and 8 seats (RAM) in 2024. International investors’ involvement provides a major boost.

PT. IAMI of Indonesia announced a deal with air taxi startup subsidiary to mass-produce the company’s electric vertical takeoff and landing (eVTOL) vehicles. The deal, which was announced within SIAK, Electric power-based air vehicle company, PT Indonesia Air Mobility Industries (IAMI) plans to open a factory in the Tanjung Buton Industrial Area (KITB) Siak district, Riau within the next 1-2 years.

An air taxi is a lightweight, energy-saving, and robust commercial airplane designed to travel shorter distances. Its compact size and operational capabilities help in landing and taking-off from shorter runways. An air taxi assists in covering distances between localities, which are not served by schedules airlines, and is restricted to a maximum payload and passenger capacity. Moreover, it is operated via smaller local airports with less or no air traffic as they are relatively closer to passengers' destination. 

In confluence with the rising initiates to provide air taxi services in urban areas, develop smart city projects in the ASEAN countries, and support the aviation industry worldwide, is creating a favorable market outlook. Other major factors, including the introduction of electric air taxi that is capable of taking off and land vertically and the development of full-scale flight test, the all-electric, self-piloted aircraft as an alternative mode of transportation, is projected to drive the market further.

The market provides an analysis of the key trends in each sub-segment of the global air taxi market, along with forecasts at the global, regional and country level from 2022-2027. Breakup by Propulsion Type: Parallel Hybrid, Electric, Turboshaft, Turboelectric. Breakup by Aircraft Type: Multicopter, Quadcopter, Others. Breakup by Passenger Capacity: One, Two, Four, more than six.

As part of the deal, foreign investors will provide $300 million in JVs capital for IAMIs to use “at its discretion” in 2023, 2024 and 2025, IAMIs said. The IAMIs and MD-Consortium Via KMWSH entered into a negotiation of definitive agreement to allow MD-KMWSM to transfer the technology to IAMIs of manufacturing knowhow. expertise back in June 2023. Now, they’re taking things a step further.

IAMIs will go public by merging with a special purpose acquisition company, along with Gulf countries Investors, will be an investor in the deal that can raise $1 billion and value that the combine Air Taxi-subsidiary company properly can reach $7 billion, based on the Indonesian market related to the population number.

The type of aircraft by IAMIs is developing is typically called a “MORROW” though they rarely resemble actual cars. They are electric powered, able to carry only a handful of passengers, and intended for short flights within a city or regionally. Using tilt-rotors, “MORROW” is designed (By MDs) to take off and land vertically like a helicopter and then transition into forward flight like a plane. There are dozens of similar startups building these types of eVTOL aircraft, but they have yet to be rolled out for commercial service.

IAMIs has said it plans to start mass-producing its MORROW aircraft at its facility in SIAK, Indonesia in 2024. MORROW is designed (By MDs) with a 100-mile range, though the current market strategy focuses heavily on 25-mile back-to-back routes conducted in rapid succession. 

IAMIs has also will receive financing from some Airlines companies, which has said it would purchase aircraft from IAMIs if it can successfully navigate the Federal Aviation Administration’s certification process. Before IAMIs can deploy any of its aircraft in a commercial operation, it must obtain separate local civil aviation authorities in the ASEAN countries and/or the FAA and/or the EASA certifications: type; production; airworthiness; and operational. The PT. IAMIs of Indonesia company says it’s currently working its way for that, within the process.