MIAMI – Lilium is to collaborate with Azul (AD) to change high-speed regional transportation in the 100-million-strong Brazilian air passenger market.

The firms want to negotiate the parameters for the construction of a co-branded network in Brazil, combining AD’s extensive experience in the Brazilian market and Lilium’s unique eVTOL aircraft platform. As part of the commercial agreement, Lilium intends to sell 220 aircraft to AD for use on the network, which is set to launch in 2025, for a total value of up to US$1bn.

According to a Lilium press release, the strategic alliance and aircraft order with Azul are contingent on the parties agreeing on commercial arrangements and conclusive paperwork.

Azul would be responsible for operating and maintaining the Lilium Jet fleet, while Lilium would supply an aircraft health monitoring platform, new batteries, and other specialized spare parts. Azul also anticipates assisting Lilium with the relevant regulatory approval processes in Brazil for the certification of the Lilium Jet and any other applicable regulatory certifications.

Lilium intends to be operational in numerous regions by 2025, providing people with the ability to travel faster than existing high-speed alternatives while emitting zero emissions. Lilium’s Brazil launch ambitions, together with previously disclosed network launch plans in Europe and the United States, are projected to generate significant incremental income.

Azul E195-E2 Special Livery. Photo: Embraer

Comments from Lillium, Azul CEOs, and Chairman David Neeleman

Daniel Wiegand, Co-Founder and CEO of Lilium said, “Azul has brought convenient and affordable air travel to underserved markets across the Americas and this makes them an ideal partner for Lilium. We’re excited to work with Azul’s seasoned team to deploy a co-branded eVTOL network in Brazil. We’re also thrilled to welcome Gabrielle Toledano and Henri Courpron to the future Board of Directors of Lilium N.V., where they’ll strengthen our Board with their operational and financial experience.”

John Rodgerson, CEO of Azul, said, “Azul is the largest domestic airline in Brazil in terms of cities served and daily departures. Our brand presence, our unique route network, and our powerful loyalty program give us the tools to create the markets and demand for the Lilium Jet network in Brazil. As we did in the Brazilian domestic market over the last 13 years, we look forward to again, now with the Lilium Jet, working to create a whole new market in the years to come.”

David Neeleman, Chairman of Azul, said, “Since Azul’s founding 13 years ago, the Brazilian aviation market has doubled with Azul capturing almost 60% of the growth. We know how to create and grow new markets, and once again we see huge market opportunity by bringing the Lilium Jet to Brazil.”

Featured image: Lillium