The Specification for Express Delivery Service by Unmanned Aircraft (the “Standard”) issued by the State Post Bureau of the People’s Republic of China will be effective in the country starting on January 1^st, 2021. The Standard was jointly formulated by industry-leading players including EHang (Nasdaq: EH), JD.com (Nasdaq: JD), and ZTO Express (NYSE: ZTO). As China’s first industry standard for express delivery service by unmanned aircraft, the implementation of the Standard is of great significance for improving last-mile delivery service, ensuring the safety of operations, and promoting the development of aerial logistics for the eventual passenger aerial mobility industry.

An EHang Delivery Drone being tested

The Standard is applicable to express delivery services by unmanned aircraft with a maximum empty aircraft weight of 116kg (255 lbs), a maximum takeoff weight of 150kg (330 lbs) , and an airspeed of no greater than 100km/h (62mph). Moreover, it specifies the service entities, conditions, procedures, assessments, safety issues and compensation of express delivery by unmanned aircrafts, which provides a standard reference for postal express companies and drone operators to engage in drone delivery services.

An EHang Drone works with DHL Cargo in to execute a delivery as part of a partnership that has been established between the two companies

As one of the world’s leading autonomous aerial vehicle (AAV) technology platform companies and an aerial mobility industry pioneer, EHang has proprietarily developed a complete suite of intelligent aerial logistics solutions, including the EH216L heavy-lift AAV for short-to-medium-haul aerial transport, the Falcon medium-sized AAV for urban express delivery, the unmanned aircraft systems, take-off and landing control sites and intelligent self-express service machines. With abundant operating experience, service workflow and practical data, EHang made significant contribution to the groundbreaking for the Standard based on its industry expertise and valuable insights.

The EHang 216L, capable of autonomously carrying up to 200kg (440 lbs).

Why it’s important: With the implementation of this Standard, EHang will continue to accelerate regular operations of its intelligent AAV technologies for aerial logistics, and provide customized solutions for clients from various sectors including logistics, retail, e-commerce and more. Establishing this infrastructure and setting a standard for unmanned vehicles will help lay the groundwork for EHang’s eventual passenger aerial mobility services.

Consulting Firm McKinsey & Co published their analysis on the transition from piloted to pilotless aerial mobility aircraft on June 2nd, outlining a proposed four phase progression from the current status quo of completely piloted aircraft to completely autonomous aerial mobility operations. The analysis, compiled by Uri Pelli and Partner Robin Riedel, asserted that the development will mature through these stages:

• No automation or human assistance (current capabilities, where computer systems may assist human pilots by reducing workload and providing safety protections)
• partial and conditional automation, in which pilots provide some control from the ground but onboard automation systems control the majority of activities
• high automation with remote supervised vehicles (one supervisor on the ground monitoring multiple aircraft)
• full automation

It was noted that, while these stages appear discrete, they could overlap, or even blend together, as additional developments occur and the integration of piloted/augmented piloted operations of aerial mobility aircraft is more fully developed.

Additionally, the article paired these four development stages with four major headwinds: the challenges of obtaining the pilot population, training them, and then implementing them at scale, with the knowledge that in a certain number of years, by design, they’ll be rendered obsolete.

The first challenge was the sheer cost of pilots. Given realistic assumptions of operating cost for UAM aircraft, adding a pilot could almost double the cost of any given flight.

Secondly, training and pilot sourcing are difficult. The aviation industry was in a massive pilot shortage prior to COVID-19, and McKinsey’s estimates state that once the eventually return to commercial air traffic operations has reached steady state, “suggests the [aerial mobility] industry could require about 60,000 pilots by 2028, roughly 17 percent of the total number of commercial pilots in 2018”. Almost 20% of the pilot workforce, on top of the existing talent pool, is a very large increase in demand across any industry. However, pilots are also an opportunity to leverage experience gained in providing a comfortable atmosphere for commercial air travel; they would serve as ambassadors for the aerial mobility industry through their interactions with customers. In fact, McKinsey’s article leads directly into the hurdle of a completely new customer experience – one that pilots have the ability to help curate to both reassure passengers and allow them to enjoy the convenience and benefits of commercialized aerial mobility transportation.

Last, and the most commonly cited hurdle, is the aircraft design paradigm. While provisions for manual operation and piloting of aerial mobility vehicles will be required for earlier models, at what cost is either retrofitting these aircraft when pilots are no longer required, or operating them with a spare pilots seat, worth when compared to clean sheet designs and integrations that never intended for a pilot to be in the loop? The challenging reality of certification for UAM aircraft at present means that designs must include pilot provisions now, and likely in the future those provisions may be partially deactivated and the pilot’s seat “converted” to a passenger seat to realize the benefit of another revenue generating station onboard. But then, what to do with pilots? The value proposition moving forward is equally as important for pilots in search of a long lasting career. Transitions to remote operations, or fixed wing aircraft piloting, might need to be flowed out to demonstrate the long term benefits of a career that may only involve 10 years of piloting UAM aircraft, per se.

Why it’s important: Due to the autonomous intent of the aerial mobility industry, the interim flight operations solution (pilots required) can be overlooked easily. McKinsey has identified a few of the key challenges for sourcing the talent required to bridge this gap in public acceptance and certification (the technology gap is virtually non-existent for flight path guidance at present). Additionally, once the talent pool of pilots is obtained, there are secondary benefits to having knowledgeable and professional pilots who may be able to serve as ambassadors to aerial mobility.

Source // McKinsey & Co. Article

Hanwha Systems will officially enter the urban aerial mobility market as of Dec. 8th, as the CFIUS has approved Hanwha’s $25 million USD investment in Overair

Hanwha earlier announced their intentions to invest a 30% stake in Overair, formerly known as K4 Aeronautics. Recently, the Committee on Foreign Investment in the United States (CFIUS) approved the $25 million USD investment into the promising air taxi company. With the approval secured, Overair, now overseen by Hanwha Systems, will go ahead with the development of its passenger eVTOL, the Butterfly.

Hanwha System’s investment is centered around the development of the Butterfly

The Butterfly is an electric vertical take-off and landing aircraft (eVTOL) optimized for urban aerial mobility services. The aircraft was conceptualized with noise reduction and efficiency in mind; the Butterfly is currently able to fly 100 kilometers at 240 km/hr (60 miles at 150 mph) or faster with five people — four passengers and one pilot — on board. 

Overair and Hanwha intend to develop the Butterfly for civilian transportation systems with the aim of receiving a certificate from the Federal Aviation Administration (FAA) in the United States. Hanwha Systems is also looking to expand its investment in Overair with the intention of spreading into the South Korean personal air vehicle (PAV) sector, which is gaining traction with the Korean Ministries of Land, Infrastructure, Transport, Trade, Industry, and Energy.

Earlier this year, Hanwha Systems announced their intentions to invest in Overair, then known as K4 Aeronautics.

Overair was spun off from the eVTOL technology company Karem Aircraft and is one of the named partners of the Uber Elevate air taxi project. Abe Karem, an aviation expert with experience in designing 14 flying machines was founder of Karem Aircraft and is now co-founder and Chief Technical Officer (CTO) of Overair.

Why it’s important: With the approval from the Committee on Foreign Investment, one of the largest technology conglomerates in the East Asian region has taken the first step to entering the urban aerial mobility sector. With a strong initial investment in Overair, a partner to Uber Elevate, Hanwha Systems looks to corner the air taxi and PAV market internationally and domestically, and now is making their presence known in the rapidly growing new industry.

Source // Business Korea

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