Key insights
- The post expresses skepticism about the long-term demand and business models of the eVTOL industry, particularly regarding mass adoption. It questions the 'flying Uber' narrative, citing concerns about regulations, safety, and public acceptance. The author sees potential only in niche applications like emergency services and premium transport, implying a limited upside for eVTOL stocks.
I've got a friend who believes in eVTOL industry and heavy into ARCH, JOBY, and HOVR stocks. I got intrigued and have been doing some research.
My biggest concern is long-term demand and the business models of the industry.
The industry feel quite selective and niche. I can see some clear demand in specific use cases, such as emergency services, medical transport, or maybe premium or time-critical scenarios.
I have difficulty envisioning eVTOL being widely or mass adopted by the general public. Sure, there are demands. For instance, rich people or business executives can see some value.
He mentioned the narrative around "flying Ubers for everyone", but that feels very unrealistic, especially when considering regulations, safety requirements, and public acceptance.
I am interested in how others view the demand side of the eVTOL market and whether you see a realistic path beyond niche applications.
Thoughts?