JetZero said it raised $175 million in a Series B funding round to advance development of a mid-sized commercial aircraft aimed at competing with models from Airbus (EADSF) (EADSY) and Boeing (BA).
Artist rendering of JetZero plane (JetZero)
The round was led by B Capital and brings JetZero’s total funding to more than $1 billion when including government grants, incentives, and commercial commitments. The company said the capital will support construction of a full-scale prototype of its blended-wing-body jet, a design it says could cut fuel use by about 50% compared with aircraft such as the Boeing 767.
JetZero expects the demonstrator aircraft to make its first flight in late 2027, according to Chief Executive Tom O’Leary. The Long Beach, California-based startup is targeting a 250-seat aircraft with a range of roughly 5,000 nautical miles, positioning it for transatlantic routes and the middle segment of the jet market.
Founded in 2020, JetZero previously raised $79.4 million in Series A funding and received a $235 million award from the U.S. Air Force. Investors in the latest round include Northrop Grumman, which is also supporting development of a military tanker variant, as well as United Airlines Ventures and other strategic backers.
JetZero said it has secured around 200 non-binding purchase commitments from airlines including United Airlines (UAL) and Alaska Air Group (ALK), and is working with more than a dozen carriers that are providing input on the aircraft’s design.