Summary:
Lilium has ceased operations and laid off about 1,000 workers.
Co-founder Patrick Nathen confirmed the shutdown on LinkedIn.
The company struggled to secure financing and declared insolvency.
Lilium aimed to develop VTOL aircraft but was years away from delivering a product.
The closure raises concerns about the electric aircraft industry.
Lilium's Journey to Closure
Lilium, once a pioneering force in the electric aircraft industry, has officially ceased operations and laid off approximately 1,000 employees. This decision comes after the company struggled to secure financing and navigate through insolvency.
Confirmation of Shutdown
Lilium's co-founder and CEO, Patrick Nathen, announced the heartbreaking news via a LinkedIn post, expressing disappointment over the company's inability to continue pursuing its vision for sustainable aviation. He stated, "After 10 years and 10 months, it is a sad fact that Lilium has ceased operations."
Layoff Details
The layoffs follow a previous reduction of around 200 workers, marking a significant cut in the company’s workforce, as disclosed in a regulatory filing on December 16.
Financial Struggles
Despite raising over $1 billion and attracting notable backers like Tencent, Lilium faced mounting challenges. The startup aimed to develop vertical take-off and landing (VTOL) aircraft capable of reaching speeds up to 100 km/h, yet it was still years away from delivering its final product.
The Path to Insolvency
In October, Lilium announced plans to file for insolvency after failing to secure emergency funding from the German government, leading to the loss of control over its subsidiaries. The sale process was managed by KPMG.
A Bitter End
This closure not only marks the end of a ten-year journey for Lilium but also raises concerns about the viability of the electric aircraft sector. As the industry continues to evolve, Lilium's story serves as a reminder of the challenges faced by startups in the rapidly changing technology landscape.
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