Archer Aviation's stock jumped more than 7% in early October, according to the Tokenist, after the company released a short video featuring its Midnight aircraft alongside a Tesla vehicle and the company's humanoid Optimus robot.
The video quickly sparked speculation that Archer could be collaborating with Tesla on an electric vertical takeoff and landing aircraft (eVTOL), especially with a Tesla announcement scheduled for October 7.
The best way to predict the future is to build it, here in America 🇺🇸
— Archer (@ArcherAviation) October 2, 2025
Another UP.Summit in the books gathering some of our nation's boldest leaders who are building the tech that is set to forge a bold new future. pic.twitter.com/22sr0LNQnG
The two-day rally lifted Archer shares nearly 20%, with trading volume far above normal levels. On Stocktwits, one trader wrote that if a Tesla partnership had materialized, Archer's stock "will go to Mars."
A separate video posted by Tesla, showing what looked like a spinning turbine bearing its logo and ending only with the date of October 7, seemingly added to the speculation.
— Tesla (@Tesla) October 5, 2025
As it turned out, the announcement was for upcoming cheaper versions of the company's Model Y and Model 3 cars, and Archer's stock dropped back down afterward, per Barron's.
The attention came as Tesla searches for new momentum after a slow start to 2025. The company's second-quarter vehicle deliveries fell about 8% from the same period last year, signaling weaker demand and tougher competition from other automakers.
Even if a partnership with Archer is not forthcoming, expanding into electric air mobility could align with Tesla's broader focus on autonomous systems and AI-driven products.
Fully electric aircraft could reduce the pollution tied to traditional air travel for short flights, and ultimately transform private transportation. Still, producing and recycling large lithium batteries for eVTOL aircraft presents sustainability challenges similar to those facing the EV industry.
For consumers, broader investment in clean mobility technologies could lead to faster innovation and more affordable options over time. Charging an EV at home remains significantly cheaper than using public stations, often saving drivers hundreds of dollars each year.
Qmerit connects homeowners with certified installers for Level 2 chargers and provides free, instant estimates. Pairing home charging with solar panels can increase those savings even more, and EnergySage allows users to compare local installers and save up to $10,000 on solar installations.
Even with a deal appearing unlikely, the reaction underscores how much investor excitement still rides on innovation that can make electric mobility faster, cleaner, and more connected.
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