Eve Air Mobility (EVEX) has locked in BETA Technologies (BETA) as the supplier of electric pusher motors for both its prototype aircraft and future production units. The decision comes after months of rigorous testing where Eve purchased and put BETA's equipment through its paces.

The timing matters here. Eve is gunning for a debut flight somewhere between late 2025 and early 2026, and getting the propulsion system sorted is obviously critical to hitting that target. The company isn't exactly starting small either—it's sitting on a backlog of 2,800 electric vertical takeoff and landing aircraft orders.

For BETA, this is a big win. The companies are calling it a potential 10-year opportunity that could reach $1 billion, though that figure depends on how production scales over time. Still, it's the kind of anchor contract that validates BETA's technology and manufacturing capabilities in a competitive market.

Johann Bordais, CEO of Eve Air Mobility, explained that the motor technology will handle cruise propulsion duties. More importantly, it'll help mature Eve's overall propulsion architecture as the company pushes toward actually getting these aircraft into service—which is where the real money gets made.

BETA Technologies designs and manufactures its own electric propulsion systems, emphasizing strong power-to-weight performance and efficient energy conversion. The company says its designs incorporate redundancy while using fewer parts than traditional aircraft engines, which theoretically means fewer things that can go wrong.

"We're excited to work with Eve Air Mobility and supply our electric propulsion technology to their production program," said Kyle Clark, CEO and founder of BETA. He noted that the pusher motors have demonstrated reliability through extensive real-world operations and that BETA has the manufacturing capacity to produce these systems at scale.

Eve isn't putting all its eggs in one basket, though. The company has assembled a roster of established suppliers including BAE Systems for batteries, Garmin for avionics, Honeywell Aerospace for external lighting, Intergalactic for thermal management, and Nidec Aerospace for lifter motors. It's the kind of supply chain you'd expect from a company trying to convince regulators and customers it's serious.

Price Action: EVEX shares closed 5.84% higher at $4.17 on Monday, while BETA was up 2.02% at $26.75 in premarket trading on Tuesday.