Joby Aviation is making a bold strategic pivot: it's spending half a billion dollars to acquire a defense technology company, betting that military contracts will fund its push to launch commercial air taxi service. The California-based electric aircraft maker announced a $500 million deal to purchase Resonant Sciences, an Ohio-based radio frequency and sensor systems company, marking a significant shift in how eVTOL (electric vertical take-off and landing) companies are approaching their business models.

The acquisition, expected to close in the first half of 2027, reflects a growing trend among air taxi developers to pursue defense and government customers alongside their commercial ambitions. Rather than waiting for millions of passengers to adopt air taxi services, companies like Joby are now building revenue streams from military applications that can reach customers faster.

Why Is Joby Pivoting to Defense Now?

Joby's commercial air taxi program is advancing rapidly. The company recently reached the fifth and final stage of Federal Aviation Administration (FAA) type-certification, with five aircraft already flying and 12 more in production. First passenger flights in Texas are expected in September, with commercial operations targeted for 2026. However, scaling a passenger air taxi network requires enormous capital investment before generating meaningful revenue.

Resonant Sciences changes that equation. The company generates approximately $100 million in trailing 12-month revenue and already operates profitably with established U.S. government contracts. Joby will fund the acquisition with $450 million in cash and $50 million in stock, leveraging its $2.3 billion cash position at the end of June. This allows Joby to build a revenue-generating defense business while simultaneously investing in commercial certification and manufacturing.

The defense market itself is expanding. Increased defense spending driven by geopolitical tensions in Ukraine and the Middle East has created demand for advanced military technologies, including autonomous systems and specialized aircraft platforms.

What Does Resonant Sciences Bring to Joby?

Resonant Sciences is not a startup. Founded in 2015 and based in Dayton, Ohio, the company has approximately 250 employees and deep expertise in areas that complement Joby's eVTOL capabilities. The acquisition provides Joby with several strategic advantages:

• Established Revenue Stream: Resonant generates roughly $100 million annually from U.S. national security customers, providing immediate cash flow to support Joby's capital-intensive commercial program.
• Classified Government Access: Resonant already works on classified U.S. government programs, giving Joby entry into defense procurement channels that typically take years to access.
• Complementary Technology: Resonant's radio frequency systems, advanced radar, navigation, communications, and electronic countermeasures align with Joby's work in propulsion and autonomous flight systems.
• Manufacturing Infrastructure: The combined company will operate approximately 1 million square feet of manufacturing, integration, and testing facilities across the Dayton region, providing capacity to scale production.
• Qualified Products: Resonant's technologies are already qualified on more than 20 air platforms, eliminating the need for Joby to build defense credentials from scratch.

Under the deal structure, Resonant will operate as Joby's dedicated defense business under the leadership of co-founder and CEO J. Micah North. This separation allows Joby's commercial aircraft division to focus exclusively on certification, production, and launch of its electric air taxi network.

How Is Joby Integrating Defense and Commercial Strategies?

Joby plans to combine Resonant's radio frequency systems and sensor technologies with its own aircraft and autonomy capabilities to develop platforms specifically designed for defense missions. This is fundamentally different from simply adapting commercial air taxis for military use. A defense aircraft can be engineered from the ground up around military requirements, rather than retrofitting civilian designs.

This approach mirrors strategies being pursued by Joby's competitor, Archer Aviation. Earlier this month, Archer agreed to acquire Boeing's Wisk Aero autonomous flight technology, drone maker Insitu, and airspace services company SkyGrid. Insitu alone generates more than $200 million in annual revenue and is already profitable, demonstrating how quickly defense businesses can contribute to the bottom line compared to nascent commercial air taxi markets.

The shift reflects a fundamental reality: the commercial air taxi market has developed more slowly than early projections suggested. By pursuing defense applications, eVTOL companies can monetize their core technologies (electric propulsion, vertical flight, autonomous systems) while waiting for the passenger market to mature.

"Over the past three years, we expanded manufacturing capacity, advanced key technologies into production, and deepened relationships with customers," said Michael Palmer, Senior Managing Director and Co-Head of Supply Chain at Cerberus, which previously invested in Resonant Sciences.

Michael Palmer, Senior Managing Director and Co-Head of Supply Chain, Cerberus

What Does This Mean for Joby's Commercial Air Taxi Plans?

The defense acquisition does not signal a retreat from Joby's commercial ambitions. Instead, it represents a parallel growth strategy. Joby's commercial air taxi program continues advancing toward FAA certification and passenger operations. The company reported $38.6 million in revenue for the second quarter of 2026, with $36.2 million coming from its acquisition of Blade Air Mobility's helicopter rideshare business, demonstrating how acquisitions can immediately contribute to revenue.

By establishing a dedicated defense division, Joby creates financial breathing room. Revenue from government contracts and defense aircraft development can fund the substantial capital requirements of scaling commercial air taxi operations. This two-pronged approach reduces pressure on the commercial program to generate profits before the passenger market reaches scale.

The deal also provides access to technologies that could enhance Joby's commercial aircraft. Resonant's expertise in radio frequency systems, navigation, and communications could improve the safety and reliability of Joby's eVTOL aircraft, benefiting both military and civilian applications.

Joby's stock fell 6.5 percent in premarket trading following the announcement, suggesting some investors view the defense pivot as a distraction from the core commercial mission. However, the company's substantial cash position and advanced certification status suggest it can pursue both strategies simultaneously.

The broader implication is clear: the eVTOL industry is maturing beyond pure-play air taxi companies. Joby, Archer, and others are becoming diversified aerospace platforms, leveraging electric propulsion and autonomous systems across multiple markets. Defense contracts provide the revenue and scale needed to sustain development of commercial air taxi networks that remain years away from profitability.