Vertical Aerospace taps Near Earth for autonomous aircraft tech

(Corrects to add dropped word "Aerospace" in paragraph 5)

July 16 (Reuters) - Vertical Aerospace said on Thursday it will partner with Near Earth Autonomy to equip its Valo aircraft with autonomous flight capability, as the British electric aviation company expands into uncrewed defense and commercial operations.

The companies said Near Earth's autonomous flight technology will be integrated with Honeywell Aerospace's Anthem avionics system, already slated for the Valo aircraft.

Aerospace startups are increasingly turning to specialist suppliers for technologies such as avionics and autonomous flight systems to cut development costs and speed up certification.

Vertical is developing Valo in both all-electric tiltrotor and hybrid-electric variants.

Near Earth, founded in 2012, has developed autonomous flight systems for programs involving the U.S. Marine Corps, U.S. Army and Honeywell Aerospace.

EVTOL developers are tapping into the boom in defense technology as they look beyond urban air taxis, a market where lengthy certification processes, infrastructure gaps and funding constraints have slowed commercialization.

"Defense is an increasingly important strategic market for Vertical, and this partnership moves us from ambition to capability," Vertical CEO Stuart Simpson said.

Rivals including Joby Aviation and Archer Aviation have also emphasized defense or dual-use programs.

(Reporting by Shivansh Tiwary in Bengaluru; Editing by Nivedita Bhattacharjee)