Joby Aviation Sues Archer Over Trade Secrets as Stock Performance Diverges

Joby Aviation has escalated its rivalry with Archer Aviation by filing a trade secret lawsuit in California state court. The complaint centers on a former Joby employee who allegedly transferred sensitive files to Archer, including details on aircraft specifications and deal terms. Joby claims Archer Leveraged this information during a competitive bid for a real estate partnership previously in talks with Joby.

The legal clash coincides with starkly divergent stock performance. Joby shares surged over 60% in 2025, while Archer's stock lost more than 25% during the same period. A March 20 hearing will determine whether Archer faces injunctive relief and monetary damages for the alleged misappropriation.

Market observers note the timing is critical as both eVTOL manufacturers approach commercial deployment. The lawsuit could impact investor confidence in Archer's ability to compete without proprietary advantages, while Joby's rising valuation reflects growing market Optimism about its first-mover potential.