Discussion of Trevor Milton’s aircraft project: certification may help, but a clear differentiator remains elusive

Participants questioned whether rethinking the cockpit alone would persuade private-aircraft buyers. In their view, the aircraft’s specifications seemed solid, but it was not clear why buyers would want a redesigned cockpit; buyers in this segment might not consider saving one pilot a material advantage. One participant called the pitch weak and suggested that customers might buy the product only if there were no alternatives.

One possible selling point is certification: a participant said the aircraft had already been approved, that its engine was associated with Williams, and that it was expected to receive FAA certification. The participant also speculated that the need to begin deliveries could make it a good-value purchase. Another participant argued that affluent buyers scrutinize both the manufacturer and its leader, and that price is not the only consideration. As an example, he cited a 2004 Gulfstream that T-Pain had reportedly described as essentially the same plane as a new one, but 90% cheaper. Participants also observed that differences between aircraft may lie in comfort, noise, and Wi-Fi rather than in basic safety alone.

The conversation also covered Milton’s history. According to a participant, after selling D-Hybrid Systems to Worthington Industries, Milton founded Nikola Motor Company in 2015, initially known as BlueGen Tech; Worthington invested $2 million in it. In 2020, Nikola went public through a SPAC and reached a $12 billion valuation; by June, its shares had more than doubled and its valuation briefly approached $30 billion, surpassing Ford’s. Hindenburg Research later accused Milton of making false statements and called Nikola an intricate fraud; the stock fell after the report. The SEC and U.S. Department of Justice opened investigations into securities-fraud allegations. Milton resigned as executive chairman on September 20, 2020, ten days after the report, and retained 91 million shares valued at $3 billion. This account of the company’s history and allegations was presented in the discussion; it does not establish guilt.

One participant called Milton’s story a possible comeback, but expressed doubts about the project and whether Andreessen Horowitz would back it. Another said that, in his opinion, an autonomous aircraft would best be built by a combined SpaceX-Tesla entity, and speculated that it might develop a flying car or a cheaper private aircraft. This was personal opinion, not an announced company plan.