Hyundai’s $7.4B eVTOL Ambitions Hit Pause Amid Executive Departures

Hyundai's Supernal subsidiary is advancing eVTOL air taxis with a $7.4B investment, unveiling the S-A2 concept for 2028 urban flights. However, executive departures have paused the program, raising doubts on timelines amid technical, regulatory, and competitive challenges. Despite setbacks, Hyundai persists in redefining mobility.
Hyundai’s $7.4B eVTOL Ambitions Hit Pause Amid Executive Departures
Written by Tim Toole

Hyundai Motor Group’s ambitious push into urban air mobility has long captured the imagination of the automotive and aviation sectors, promising a future where electric vertical takeoff and landing (eVTOL) vehicles whisk passengers above congested city streets. At the heart of this vision is Supernal, Hyundai’s advanced air mobility subsidiary, which unveiled its S-A2 eVTOL concept at CES 2024, targeting a commercial launch by 2028. The aircraft, designed for intra-city flights with a cruising speed of up to 120 mph and a range of 20-40 miles, represents a bold bet on integrating air taxis into everyday transportation.

Drawing from Hyundai’s automotive expertise, the S-A2 features modular battery systems and redundant propulsion for safety, aiming to make short-hop flights as routine as ride-sharing. According to details shared in a Yahoo Finance report, Hyundai has committed over $7.4 billion to this ecosystem, encompassing vehicle development, infrastructure, and regulatory partnerships. This investment underscores the company’s strategy to diversify beyond ground vehicles, positioning itself against rivals like Joby Aviation and Archer Aviation in the burgeoning eVTOL market.

Executive Shakeups Cast Shadows on Timeline

Recent developments, however, have introduced uncertainty. Supernal has paused work on its eVTOL program following the abrupt departures of CEO Jaiwon Shin and CTO David McBride, as reported in a recent article from ETInfra. This halt, announced just days ago, raises questions about the feasibility of the 2028 rollout, with insiders speculating on internal challenges in scaling the technology. The executives’ exits come at a critical juncture, as Supernal was gearing up for certification processes with the Federal Aviation Administration.

Despite the setback, Hyundai’s broader vision remains tied to collaborative efforts. Earlier partnerships, such as the 2020 tie-up with Uber for aerial ridesharing, highlighted in a Hyundai Newsroom release, envisioned autonomous air taxis ferrying passengers without pilots. Posts on X (formerly Twitter) from users like Reuters in 2020 echoed this excitement, noting the S-A1 concept’s potential for 60-mile trips at 180 mph, though current sentiment on the platform reflects skepticism amid the pause, with some accounts labeling it a costly detour from Hyundai’s core business.

Technological Hurdles and Market Realities

Delving deeper, the technical challenges of eVTOLs are formidable. Supernal’s designs incorporate distributed electric propulsion and advanced composites for noise reduction—crucial for urban acceptance, as the aircraft aims to operate at dishwasher-level quietness. A TechCrunch piece from January 2024 detailed how Hyundai plans to leverage its electrification know-how from EVs like the Ioniq series to power these air taxis, with initial piloted flights transitioning to autonomy.

Yet, regulatory and infrastructural barriers loom large. Building vertiports and securing airspace integration require coordination with cities, a point emphasized in a FLYING Magazine article. Recent X posts, including one from aviation enthusiast Lionel Alford last week, dismiss eVTOLs as glorified helicopters, highlighting operational costs that could undermine viability. Hyundai counters this by focusing on sustainability, with the S-A2’s battery tech promising zero-emission flights.

Global Competition and Strategic Pivots

The competitive arena is heating up, with players like China’s EHang already securing approvals for commercial drone taxis, as noted in an April 2025 X post by Mario Nawfal. Hyundai’s pause might allow time for strategic pivots, such as enhanced partnerships with suppliers like UmbraGroup for actuation tech, per a 2023 eVTOL News update. Industry analysts suggest this could refine Supernal’s approach, potentially integrating AI for better flight management.

For Hyundai, this venture is more than innovation—it’s a hedge against a shifting mobility paradigm. As ground traffic worsens, air mobility could redefine urban logistics, from passenger transport to cargo. A CNET report from 2020 captured early optimism, projecting intracity flights and even cargo variants. With the recent leadership vacuum, Hyundai must act swiftly to reassure investors.

Future Prospects Amid Uncertainty

Looking ahead, Supernal’s engineering headquarters in Irvine, California, continues to buzz with activity, as described in a 2022 ABC7 News story. The company’s cabin concepts, unveiled at the Farnborough Airshow, feature plant-based materials and light therapy for passenger comfort, blending luxury with functionality. Yet, the executive departures, covered in a Acko Drive article last week, signal potential delays, possibly pushing the 2028 target.

Ultimately, Hyundai’s flying taxi dream hinges on overcoming these hurdles. As one X post from Tsla Chan this month discussed Hyundai’s autonomous tech collaborations, it hints at synergies with ground mobility that could bolster air efforts. For industry insiders, this saga illustrates the high-stakes gamble of pioneering new transport modes—where visionary investments meet the grind of execution. If Supernal rebounds, it could soar; otherwise, it risks joining the annals of ambitious but grounded tech pursuits.

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