Joby flexes military muscle with $500 million defense acquisition

Joby Aviation announced it was acquiring Dayton, Ohio-based defense firm Resonant Sciences in a $500 million deal, in a bid by the electric aircraft company to expand further into the military industrial complex.

Joby says it expects to finance the deal with $450 million in cash and $50 million in equity. After the deal closes, which is expected in early 2027, Resonant will continue its existing work as Joby’s dedicated defense division, the company said. The commercial division will remain focused on air taxis, the first of which are expected to launch later this year.

The deal is the latest example of the fledgling electric aviation industry looking beyond urban air taxis for new revenue streams, especially as rising costs and a protracted regulatory approval process pushes air taxi success further into the future. For many, lucrative military contracts represent too ripe an opportunity to pass up.

Resonant Sciences, which was founded in 2015 and employs around 250 people, develops systems that help aircraft see, communicate, and operate in complex environments, including war zones. Its sensors, antennas, and signal-processing technology to gather information support secure communications and protect against interference, while its low-observability expertise helps make aircraft harder to detect. Resonant’s products are already qualified across more than 20 commercial and defense airframes. And many of the firm’s employees have military clearance due to the classified nature of their work.

Joby says the acquisition will allow it to combine its propulsion and autonomy tech with Resonant’s radio frequency, sensing, and mission systems capabilities. The company says it intends to design and build stealth aircraft using its newly acquired systems.

Joby has long had ties to the military, stretching back to 2016 when the company participated in the Department of Defense’s Defense Innovation Unit project. In 2020, Joby became the first eVTOL developer to secure an airworthiness approval and flight clearance certificate from the US Air Force for government-led testing. And in 2023, it delivered its first aircraft to Edwards Air Force Base for testing.

Electric aircraft developers are increasingly looking to military projects to help shore up their cash-intensive business. Air taxis have yet to obtain the necessary government approvals in most markets that would allow them to launch their commercial service and bring in more money. As such, most of these companies, Joby included, regularly report steep quarterly losses. Last week, Joby reported a net loss of $245.4 million in the second quarter of 2026 on $38.6 million in revenue.

Getting more military contracts is increasingly becoming just as important as launching a viable air taxi service. Last month, San Jose-based Archer Aviation, one of Joby’s main rivals, unveiled a new aircraft it codeveloped with defense technology company Anduril. Consolidation is also an emerging theme. Boeing said yesterday it was selling three of its eVTOL subsidiaries to Archer as part of a new blockbuster deal.