Lilium technology, which powered defunct electric aircraft, still exists in Archer

Electric aircraft startup Lilium may have ceased operations a year ago, but its bankruptcy filing was not the end for the German-based company.

There have been several failed attempts to restructure the company, including recent efforts by Mobile Uplift Corporation, a company created by investors from Europe and North America, to acquire the operating assets of the startup’s two subsidiaries. Ultimately, the bankruptcy administrator puts the company’s assets through a competitive bidding process.

Now, some of its technology will continue at Archer Aviation, which beat out US-based Ambitious Air Mobility Group and Joby Aviation with the winning bid of €18 million ($21 million) for all 300 Lilium patent assets. Joby Aviation has confirmed its participation in the bid.

Lilium, which was founded in 2015, was working on developing a vertical take-off and landing aircraft with a speed of up to 100 kilometers per hour. The company raised more than $1 billion from investors before going public in 2021 on the Nasdaq through a reverse merger with blank check company, SPAC Qell. While it managed to attract high-profile investors such as Tencent and attract customers, including an order for 100 electric planes from Saudi Arabia, it exhausted the funds long before it could deliver the product.

An Archer spokesman said the patents cover eVTOL (electric vertical take-off and landing) technologies, including high-voltage systems, flight controllers, ducted propellers, and advanced aircraft design. The new patents represent a “strong addition” to Archer’s growing intellectual property portfolio, which now totals more than 1,000 global patent assets, the spokesperson noted in an email.

What Archer plans to do with these patents is not entirely clear, although there are hints. Lilium’s ducted electric propellers would be a good application for light sports or regional electric aviation – beyond Archer’s original mission.

Archer, which went public in 2021 through a merger with a special purpose acquisition company, initially focused on developing its air taxi network. It added a defense program in December, which included an exclusive deal with arms manufacturer Anduril to jointly develop a gas-electric hybrid VTOL aircraft for critical defense applications.