Joby Aviation Acquires Blade’s Ridesharing Business in $125 Million Deal

In a move that underscores the rapid evolution of urban air mobility, Joby Aviation has acquired Blade Air Mobility’s helicopter ridesharing business in a deal valued at $125 million. The announcement, made on August 4, 2025, has sparked significant interest in the stock market, with Joby’s shares rising over 5% and Blade’s soaring nearly 30% on the news.

Details of the Acquisition

Joby Aviation, a leader in electric air taxi technology, announced that it will incorporate Blade’s helicopter ridesharing business as a wholly-owned subsidiary. The acquisition provides Joby with immediate access to Blade’s well-established operational network, which spans 12 urban terminals in key regions such as New York City and Southern Europe. Blade flew more than 50,000 passengers in 2024 alone, offering per-seat helicopter rides to destinations such as the Hamptons and Newark Liberty International Airport.

However, the deal does not include Blade’s medical transport business, which is set to spin off into a separate public entity named Strata Critical Medical. Joby will remain the preferred vertical takeoff and landing (VTOL) partner for Blade’s organ transport operations, a move that further cements its position in the advanced air mobility sector.

Strategic Implications for Joby Aviation

This acquisition is a strategic milestone for Joby, as it accelerates the company’s readiness for commercial air taxi services. According to a statement by Joby, the deal “unlocks immediate market access and infrastructure in urban corridors,” which is essential as the company prepares to launch its air taxi services in the Middle East by early 2026. The $125 million transaction includes $35 million in holdbacks, contingent on performance milestones, ensuring a structured integration process.

In recent weeks, Joby has been actively preparing for its commercial debut. The company completed a series of commercial readiness tests in Dubai and announced collaborations with defense contractor L3Harris to design VTOLs for military applications. Additionally, Joby is expanding its manufacturing capabilities with new facilities in California and Ohio, aiming to scale up aircraft production.

Market Reaction and Broader Context

The stock market reacted positively to the news. Joby Aviation’s stock surged 14% on August 4, continuing a trend that has seen the company’s shares climb over 111% in 2025. Blade Air Mobility also experienced a robust rally, with its shares jumping more than 29%, recovering from earlier losses this year.

Blade’s decision to separate its medical transport division highlights a growing trend among mobility companies to focus on core competencies. Strata Critical Medical, the new entity, will concentrate solely on medical transport, a niche but critical market segment.

Future Prospects for Urban Air Mobility

The acquisition is a testament to the growing interest in urban air mobility solutions. As cities become more congested, companies like Joby and Blade are positioning themselves to offer faster, more efficient transportation options. Joby’s electric air taxis are expected to revolutionize urban transit by providing an environmentally friendly alternative to traditional ground transportation.

Blade’s established network and customer base will serve as a strong foundation for Joby’s expansion. The integration of these two companies is likely to set a precedent for future collaborations in the sector, as competitors race to capitalize on the burgeoning demand for air mobility solutions.

The Joby-Blade deal marks a pivotal moment in the evolution of urban air mobility, combining technological innovation with established operational expertise to redefine the future of transportation.