Archer Aviation partners with Anduril to unveil military VTOL aircraft 'Thunder'

Steven Porrello, The Motley Fool Published: July 21, 2026 at 1:50 PM PDT | 4 min read

Tickers: ACHR | ARCH.OL | ANIN.PVT | NVDA

If you thought Archer Aviation (NYSE:ACHR) was only building flying taxis, you might want to think again.

On July 20, Archer and defense company Anduril unveiled an autonomous VTOL aircraft platform, along with a defense variant called "Thunder." Since late 2024, both companies have been jointly developing technology for the vertical takeoff and landing (VTOL) sector. While "Thunder" is a defense variant, Archer says it will announce the platform's first commercial customers later this week.

The importance of this platform for Archer cannot be overstated. The company is not generating meaningful revenue, and Midnight — its flagship electric vertical takeoff and landing (eVTOL) aircraft — still lacks FAA type certification. If Archer can turn the Anduril platform into firm orders, it could create a path to meaningful revenue while Midnight continues working through the certification process.

Archer stock jumped roughly 20% on the news, though it remains approximately 30% lower on the year. If you've been waiting for a reason to buy this beaten-down aviation stock, let's take a closer look to see if now is the time to jump in.

A New Path to Revenue, but No Firm Orders Yet

Archer Aviation is a frontrunner in the nascent eVTOL and urban mobility space. Its flagship aircraft, Midnight, is being engineered for short-distance urban air travel. In practice, this eVTOL could transform city commutes by replacing hour-long slogs through congested streets with a relatively peaceful 10-minute ride in a quiet electric aircraft.

As mentioned above, Midnight is not FAA-certified. That said, Archer has been moving steadily through the FAA's rigorous regulatory process. In April, it became the first eVTOL company to close out Phase 3 of the FAA's four-phase process. Archer is now working through the final phase, during which it will conduct formal testing and demonstrate that Midnight is airworthy for passengers.

Progress is encouraging, but it is not revenue. And right now, money is firmly top of mind for Archer investors. The company has strong liquidity — approximately $1.8 billion available — but cash burn has become hard to ignore. Quarterly, it is burning through about $180 million. That gives it a runway of roughly two and a half years, assuming the burn rate remains unchanged.

This is where the Archer-Anduril platform could prove useful. Unlike the fully electric Midnight, the new aircraft uses a hybrid-electric powertrain, meaning it can theoretically stay airborne longer and carry heavier loads. That could broaden Archer's opportunities beyond short urban hops into other, more urgent markets, such as defense and cargo. More importantly, Thunder (and other military variants) could reach deployment faster than Midnight, as military aircraft do not have to undergo the same FAA certification process as civilian passenger aircraft.

As CEO Adam Goldstein said, that is the "beauty of the defense market." Whether or not it translates into firm sales remains to be seen.