The Key to Unlocking The Skies is Growth and Air Rights - Not Regulation
Innovating Low-Altitude Transportation From A Growth Perspective
Thank you to everyone for reading, and I hope you enjoy this edition of the newsletter. Please reach out if you want to learn more about Air Rights and low-altitude air space transit. SkyTrades.io
Regulators Regulate - But They Don’t Own Your Airspace
The FAA has once again confirmed this week, that since 1946 the ownership of low-altitude airspace is clearly the landowners. Subsequent rulings and cases have served to affirm this.
The FAA's recent publications highlight that federal law does not override state regulations concerning low-altitude airspace. This is not new information but the FAA coming out to express it is welcome. The FAA doesn’t want to be a party to any unnecessary ‘Takings’ lawsuits.
“Nor shall private property be taken for public use, without just compensation.”
Takings & The 5th
Takings cases hinge on the contentious issue of the government's authority to appropriate private property, drawing upon the framework of the "Takings Clause" enshrined in the Fifth Amendment of the United States Constitution.
Within the domain of drones, takings cases emerge when government-sanctioned use of drones encroaches upon individuals' property rights. Instances can materialise when drones are deployed over private property without consent. Consequently, legal challenges arise that these government-sanctioned actions amount to a "taking" of private property without proper compensation.
Several examples of where federal law does not override state laws and does not fall in the remit of the FAA have been provided. They include those related to land use or zoning, voyeurism, trespass, photographing critical facilities, criminal activity, and law enforcement operations, among others. Privacy-related and security-related restrictions also fall into this category.
Another aspect outlined is laws that limit UAS (unmanned aircraft systems) operations in the immediate reaches of the property, causing interference with the property owner's use and enjoyment. Airspace is becoming more useful and enjoyable, and will continue to be over time.
The FAA adopts the well-established legal standard for aerial trespass from the 1946 Supreme Court case, United States v. Causby, this is contrary to suggestions by those looking to take your rights away that the Causby standard might not apply to UAS trespass. Confirming, again, that the air space above property is the property owners not a government bodies to do with what they want, which is always good to hear.
These are important clarifications on the relationship between federal and state laws concerning airspace regulations. This further copperfastens the rule that landowners control the Air Rights above their property and can do what they want with them. A wall of money into Unmanned Aerial Vehicle (UAV) companies using hope as a strategy does not alter this when The Supreme Court and the US Constitution have spoken. What does solve this problem is the Air Right holders being catered for by SkyTrades. jonathan@skytrades.io
Is This Progress?
The Drone Industry
Drone delivery startups continue to attract substantial funding, despite a broader downturn in venture capital. Over $1.5 billion has been invested in the drone space this year, focusing on delivery services.
This surge in funding is remarkable, especially as overall startup investment has seen a sharp decline, dropping by 51% in the first half of this year compared to the second quarter of 2022.
Among the top-funded drone companies, Skydio, based in Silicon Valley, raised $230 million in Series E financing and is now the largest drone manufacturer in the U.S., with significant customers in various sectors. How can Skydio drones fly in the skies and investors get a return if the drones can’t legally fly in the airspace is the elephant in the room.
While drone delivery has shown its ability to reach remote locations, the industry is exploring all areas and looking to serve end users closer to urban centres and established traditional delivery routes. For these pilot projects to scale successfully they need the Air Rights owners’ permission to enter their airspace. With the Air Rights Owners in the system, we may soon see drone-delivered pizzas and other goods becoming a common sight in residential areas. The future of drone delivery is becoming more tangible than ever.
Aces High
Australian eVTOL company, Ace VTOL has secured a $250 million order from Aeroauto, a prominent eVTOL vehicle retailer based in Palm Beach, FL. The order is for the Ace VTOL's flagship personal eVTOL aircraft, the GT Slipstream.
The GT Slipstream is a two-seater flying "muscle" car, boasting an impressive top speed of 270 mph and a range of 300 miles on a single charge. Powered by four Arc Reaction Engines, the aircraft transitions from low-speed to high-speed flight. Anticipated entry into the US market is set for 2027.
Aeroauto's commitment to the eVTOL industry is evident in its pledge to acquire at least 100 GT vehicles by 2040. As a leading eVTOL vehicle retailer, Aeroauto offers comprehensive sales, service, and access to a national vertiport infrastructure.
Currently, Ace VTOL is in active discussions with the FAA regarding certification requirements, and the company expects to unveil the first GT Slipstream prototype within the next 12 months. To ensure exceptional pilot training, Ace VTOL has partnered with NeurobotX, a Boeing-backed AI company, to offer Meta Pilot gamification software for all of its eVTOLs.
In addition to the GT, Aeroauto plans to invest in Ace VTOL's Trinity eVTOL, an adaptable air taxi capable of accommodating up to five passengers or one metric tonne of cargo. The Trinity targets US entry by 2028, providing eco-friendly transportation solutions.
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Turbogenerator Supplier Required
Germany's Statkraft Ventures, known for supporting energy transition and climate technology companies, has recently invested in Electra.aero to aid in the development of its nine-passenger, hybrid-electric aircraft. Electra, is based in Virginia and the exact amount of the recent investment and the total funds raised to date remain undisclosed.
Electra's plans include commencing test flights with a full-scale prototype in 2025, with the ultimate goal of achieving targeted type certification by 2028. The aircraft's design allows for the option to carry up to 2,500 pounds of freight, and it is expected to operate on routes of approximately 400 miles from landing sites as short as 150 feet.
To achieve its vision, Electra is actively searching for a suitable turbogenerator supplier to integrate into its distributed electric propulsion system. This system will power eight electric motors and recharge the aircraft's batteries during flights.
Your Own Flying Car (sort of) - Just Apply!
Opener, a California-based company, is actively seeking 12 customers to participate in its Early Access Program (EAP) for the BlackFly single-seat, personal eVTOL vehicle. The company made the announcement at the EAA AirVenture show in Oshkosh, where it showcased the aircraft.
To be eligible for the EAP group, prospective BlackFly owners must reside in the United States, have access to Class G airspace (over uncongested areas), be at least 18 years old, and commit a specified amount of time for training and program development. Opener is working towards obtaining approval for the aircraft under the FAA's Part 103 rules, which pertain to light sports aircraft. The aim is to bring the BlackFly to market for consumer recreational use and short-hop travel, falling within the ultralights category. Notably, participants in the program are not required to hold a pilot's license, but comprehensive flight training by Opener is mandatory.
Wisking Through The Sky
Wisk Aero, a leading Advanced Air Mobility (AAM) company, recently achieved a milestone with a public demonstration flight of a fully autonomous, electric vertical takeoff and landing (eVTOL), fixed-wing air taxi. The demonstration showcased multiple manoeuvres, including hover, 360-degree turns, and more. Wisk aims to launch the first passenger service on an all-electric, autonomous air taxi within the next five years.
The entire flight operated without a pilot on board or pilot controls in the aircraft. The aircraft, a fly-by-wire, vertical takeoff and landing aircraft, was controlled with a simple push of a button. Their self-flying eVTOL air taxi aims to provide a faster and traffic-free commuting experience.
Wisk is a fully-owned Boeing subsidiary that operates independently and is headquartered in the San Francisco Bay Area.
A World of Cleaner Roads and Bluer Skies
The future is a lot brighter than clinging to a present that is already dying - if we take advantage of the opportunities that lie in front of us. Clogged highways with tons of metal delivering small packages to us, medical supplies only available in stores that we have to drive to is crazy.
We can have a world where everyday packages and medical supplies are delivered in minutes to those who need them, in a sustainable and friendly way. We can also do this and protect our individual rights, and not let inertia erode the power we have to deliver the growth we need.
Air Rights unlock the stuttering urban and suburban air mobility market and SkyTrades are focused on that goal. Contact me at jonathan@skytrades.io for more information.