AIR Secures $23M in Series A for US eVTOL Expansion

Israeli startup AIR secured $23 million in a Series A round. Entree Capital led the investment, with participation from existing backer Dr. Shmuel Harlap. Consequently, the new capital from the AIR eVTOL funding will fuel production scaling and the company's expansion into the United States.

The company develops both a piloted personal aircraft and an uncrewed cargo eVTOL from a single, unified platform.

Dual-Use Strategy and US Market Entry

AIR will use the funds to expand its production facility in Israel and increase its workforce. Additionally, the capital supports plans for a U.S.-based manufacturing hub, a critical step for pursuing American enterprise and government contracts. This strategy therefore aligns with a recent U.S. Executive Order promoting domestic drone technology.

The company's cargo aircraft currently operates under Experimental Airworthiness Certificates for logistics missions. Meanwhile, AIR is pursuing Light Sport Aircraft (LSA) certification for its two-seat AIR ONE vehicle under the FAA's updated MOSAIC rule. The company aims to begin customer deliveries in 2026.

The AIR eVTOL funding arrives as the company enters a competitive market. Incumbents like Joby Aviation and Archer Aviation already hold airline partnerships and military contracts. However, AIR believes its shared design architecture and focus on automotive-grade manufacturing will provide a competitive edge in the broader transportation tech sector.