The electric vertical takeoff and landing (eVTOL) sector has faced significant challenges in recent months, with two of its leading European players, Lilium and Volocopter, encountering financial struggles. Lilium, the German-based eVTOL manufacturer, appeared on the brink of bankruptcy, prompting concerns about the viability of the entire sector. 

However, in a turn of events that could be described as a miraculous Christmas deal, the company successfully secured a new round of investment, allowing it to continue pursuing its ambitious vision of urban air mobility. This much-needed financial boost came at a crucial time, offering a lifeline for the company’s promising technology.

Just as Lilium regained its footing, reports surfaced that Volocopter, another key European player in the eVTOL space, was also facing bankruptcy. These developments led many to believe that the Jetsons-style dream of flying cars and air taxis might be fading into oblivion. However, the latest turn of events highlights the resilience of the eVTOL and aerospace industries, as the market continues to attract attention and investment.

Despite these setbacks, several other European aerospace startups remain firmly in the race. Companies like Dufour Aerospace and Sora Aviation are making notable strides in developing innovative aircraft that could redefine urban air transportation. With breakthroughs in sustainable aviation and growing investor confidence, it’s clear that the eVTOL industry is far from vanishing. The future of the eVTOL and aerospace industry remains uncertain but promising, with a strong wave of innovation continuing to push forward.

That said, here are notable European aerospace startups that are proving that sky’s the limit. 

Airvolve (Lithuania)

Founder/s: Donatas Gendvilas, Antanas Ivancius

Founded year: 2024

Total funding: $913k

Airvolve is a Lithuanian deep-tech aerospace startup specialising in the development of innovative tactical transport aircraft. Its primary focus is to create a heavy-lift aerial vehicle designed for both civil and defense applications, including autonomous cargo delivery, casualty evacuation, and search and rescue operations. The company’s aircraft features a unique horizontal-axis propulsion system, enabling it to transport large-volume payloads over distances of up to 60 kilometres. Notably, the operating costs are projected to be ten times lower than those of conventional helicopters. 

In May 2024, Airvolve successfully tested a prototype of their aircraft. Following this milestone, the company secured an additional €825K in funding from venture capital funds Coinvest Capital and Baltic Sandbox Ventures, along with several accredited business angels, to further develop a fully functional MVP aircraft. 

Recently, Airvolve initiated the patenting process for its innovative aircraft design by filing a provisional patent application with the United States Patent and Trademark Office (USPTO). This step grants them a twelve-month period to finalise the patent, ensuring protection for their unique design features and subsystems. 

Zuri (Czech Republic)

Founder/s: Michal Illich

Founded year: 2017

Total funding: $6.4M

An aerospace startup based in Prague, Zuri, specialises in developing hybrid-electric vertical takeoff and landing (VTOL) aircraft designed for regional air mobility. Its approach combines vertical takeoff and landing capabilities with efficient wing-borne flight, aiming to transform regional air mobility with sustainable, high-performance aircraft.

The aircraft is intended to facilitate point-to-point, mid-range travel without the need for traditional airports. The Zuri 2.0, their production model, is a hybrid-electric VTOL aircraft that can accommodate one pilot and three to four passengers, depending on the interior configuration. It is designed for medium-range flights, offering a sustainable and efficient solution for regional air travel. 

In late 2024, Zuri secured a €3 million investment led by Jan Barta of Pale Fire Capital, along with contributions from other notable angel investors. This funding is aimed at accelerating the development of their next-generation technology demonstrator, known as TD 2.0.

Beyond Aero (France)

Founder/s: Valentin Chomel, Eloa Guillotin, Hugo Tarlé

Founded year: 2020

Total funding: $23M

Toulouse-based Beyond Aero is a French mobility startup with the mission to make aviation electric, starting with business aviation. It is developing the first hydrogen-powered electric business aircraft. It’s the business jet, One powered by hydrogen propulsion enables six passengers to fly up to 1,500 km, which is five times farther than a battery-powered aircraft. It is expected to enter the market by 2030. 

Beyond Aero is also building the world’s most powerful integrated Hydrogen Electric Powertrain Lab. This state-of-the-art facility is designed to test all components of the hydrogen-electric propulsion system, from hydrogen tanks to fuel cells and electrical systems. The lab replicates one of the aircraft’s two powerplants and will push the technology to TRL6 at 600+ kW power. It will focus on hydrogen refuelling, air supply, fuel cells, and integrated powertrain testing, marking a crucial milestone in advancing system design and safety verification.

Last year, the French company secured an additional $20 million in the Series A funding round. Co-led by Giant Ventures and Bpifrance, the round saw participation from Initialized Capital, Airbnb and Dropbox founders Nate Blecharczyk and Arash Ferdowsi and several high-profile athletes.

Heart Aerospace (Sweden)

Founder/s: Anders Forslund, Klara Forslund

Founded year: 2018

Total funding: $157M

Heart Aerospace is developing the ES-30, a 30-seat hybrid-electric regional airliner designed to enhance sustainability and efficiency in short-haul aviation. The ES-30 is projected to have an electric-only range of 200 km and a hybrid-electric range of 400 km, with the potential to reach 800 km with a reduced passenger load.

In 2024, Heart Aerospace unveiled its first full-scale demonstrator, the Heart X1, built almost entirely in-house at their Gothenburg facilities. This demonstrator reflects the company’s strategy to simultaneously develop both the design and production processes. The Heart X1 is currently undergoing testing of its critical systems to ensure a secure experimental flight, which is anticipated to take place in the second quarter of 2025 at Plattsburgh International Airport in New York. citeturn0search5turn0search15

Also, the company secured $107 million in Series B funding, with new investors such as Sagitta Ventures and returning investors including EQT Ventures, EIC Fund, Norrsken VC, Air Canada, Breakthrough Energy Ventures, and United Airlines. 

Dronamics (UK)

Founder/s: Svilen Rangelov, Konstantin Rangelov

Founded year: 2014

Total funding: $56.8M

The world’s first licensed cargo drone airline, Dronamics, provides an all-in-one solution to its customers, by selling capacity on its routes, not aircraft. Black Swan, its revolutionary drone can carry 350 kg at a distance of up to 2,500 km up to 80% faster, 50% cheaper, and with up to 60% lower emissions than alternative modes of transport, including airfreight. Black Swan enables same-day shipping over very long distances for a variety of industries: from pharma to food, from e-commerce to spare parts.

Dronamics is the first and only cargo drone airline with a license to fly long-range cargo drones in the EU. It completed its full-scale first flight successfully in 2023 and is set to begin commercial operations. 

In 2024, the UK-based company has snapped a €10 million investment from the European Innovation Council (EIC). The investment will be used to debut its commercial operations in Greece after the testing phase. 

Destinus (Switzerland)

Founder/s: Mikhail Kokorich

Founded year: 2021

Total funding: $58.4M

Destinus specialises in the development of autonomous flight systems for both civilian and defence applications. The company focuses on advancing technologies in supersonic and hypersonic aviation, with a particular emphasis on hydrogen propulsion systems. Its expertise spans system design, airframes, turbojet engines, flight software, and artificial intelligence, aiming for a holistic approach to aerospace innovation. Destinus has developed several unmanned aerial vehicles (UAVs). 

Looking ahead, Destinus aims to test a supersonic hydrogen prototype in 2026 and develop a hypersonic airplane by 2030. A few months back, it relocated its headquarters to Hengelo, Netherlands, to better align with its increasing focus on military applications. The Swiss team in Payerne continues to develop engines, electronics, and software. 

VÆRIDION (Germany)

Founder/s: Ivor van Dartel, Dr Sebastian Seemann

Founded year: 2021

Total funding: $18.9M

Founded by former Airbus managers, Munich-headquartered VÆRIDION is developing a zero-emission electric Microliner aircraft designed for regional flights. The Microliner is an electric Conventional Take-Off and Landing (eCTOL) aircraft intended to transport up to nine passengers over distances of up to 500 kilometres. It features advanced battery-wing integration and a multi-engine single-propeller configuration to ensure efficiency and safety. 

VÆRIDION became the first General Aviation manufacturer to complete a Pre-Application Contract with the European Union Aviation Safety Agency (EASA), confirming that the Microliner meets certification standards for commercial passenger aircraft. 

Last month, the company landed €14 million in Series A equity financing. The World Fund led the round, which included participation from Project A Ventures, Vsquared Ventures, Andreas Kupke, Schwarz Holding, and InnovationQuarter. The company will use the capital to expand its team and extend operations beyond Germany.

Vertical Aerospace (UK)

Founder/s: Stephen Fitzpatrick

Founded year: 2016

Total funding: $108M

Vertical Aerospace is a UK-based company developing electric vertical takeoff and landing (eVTOL) aircraft for urban air mobility. It aims to revolutionise short-haul aviation with zero-emission, cost-effective air taxis. 

Its VX4 aircraft has pre-orders from airlines and leasing companies, though certification challenges remain. The VX4 prototype has exceeded performance expectations, and the company is collaborating with the UK Civil Aviation Authority to commence Phase 3, which will include wingborne flight testing, a critical milestone toward certification.

In November 2024, the company secured a $50 million funding from Mudrick Capital Management. This deal strengthens Vertical’s financial position and will advance its Flightpath 2030 Strategy. The funding forms part of a broader $180 million transaction. 

Skydweller Aero (Spain)

Founder/s: Robert Miller 

Founded year: 2017

Total funding: $40M

Originally from the US, but Skydweller Aero has offices in Spain and develops solar-powered aircraft for defence and commercial industries. It’s tech was born from a Swiss solar aircraft project called Solar Impulse. The aircraft is all-electric, outfitted with 2,200-square-foot solar-panel wings, 600 kilograms of batteries and a hydrogen fuel cell backup power system. 

With a flexible payload system, including 4G/5G cellular, communications relay, imaging radar, day/night full-motion video, satellite communication, and more, the company will enhance commercial and government telecommunication, geospatial, meteorological, and emergency operation efforts around the world. 

In 2021, Skydweller Aero raised $40 million in Series A funding from Leonardo S.p.A, Marlinspike Capital, and Advection Growth Capital. This was followed by a €30 million venture loan in 2023. This loan was backed by the InvestEU program.