Two sources tell Private Jet Card Comparisons that Aerion is informing customers it plans to cease operations
Aerion says, it “is now taking the appropriate steps in consideration of this ongoing financial environment.”
The much-talked-about Aerion supersonic private jet program looks to be running into headwinds. The AS2 is supposed to carry eight to 10 passengers. Its range of 4,200 nautical miles at Mach 1.4, about 1,000 miles per hour, would cut the flying time between New York and London to just over three hours.
However, two sources tell Private Jet Card Comparisons that Aerion is ceasing operations after failing to raise enough money. The sources both said the company has been informing customers over the past several days.
NetJets has obtained purchase rights for 20 AS2 supersonic business jets. Aerion’s global order backlog grows to $10 billion + ahead of a planned 2023 production start
Aerion signed a memorandum of understanding with NetJets and FlightSafety to explore wide-ranging cooperation
NetJets customers are set to break the speed of sound. The Berkshire Hathaway unit said it had obtained the right to purchase 20 Aerion AS2 supersonic private jets. The list price for the AS2 is $120 million. The order extends Aerion’s order book to over $10 billion. The new aircraft promises speeds of over 1,000 miles per hour.
NetJets may be ubiquitous with the concept of fractional ownership, and by far the dominant player in the market, but the big question remains, is the unit of Berkshire Hathaway worth a premium?
(Updated April 4, 2021) – There’s no question NetJets is the biggest player in the private aviation sector. And for the over 3,000 subscribers to Private Jet Card Comparisons since we launched just over three years ago (Thank you!), I get to talk with perhaps 20%. It is likely more day-in-day-out contact with private aviation consumers than any other journalist. And if there is one company that comes up more than others, it’s NetJets.