AirAsia Group Planning To Launch Air Taxi And Drone Delivery Services

March 16, 2021

Malaysia's AirAsia Group Bhd is planning to launch an air taxi service and the country's first drone delivery service as the budget carrier seeks to diversify amid the coronavirus pandemic, the company's CEO has said.

As part of the group's diversification push, it also aims to launch a ride-hailing service next month as COVID-19 continues to hit air travel.

"The air taxi will have a pilot and four seats. At the moment, we have our team working on this upcoming service by AirAsia," chief executive Tony Fernandes said at the Youth Economic Forum 2021, state news agency Bernama reported.

The service should start operating in approximately 18 months, Fernandes was quoted as saying.

He also announced that the airline's logistics unit Teleport, which is currently testing an urban drone delivery service with state-backed firm Malaysian Global Innovation and Creativity Centre (MaGIC), will conduct its first commercial delivery by the end of this year.

"[The] idea was brought up three weeks ago and now it's reality," he wrote on Instagram.

Recovering From The Impact Of The COVID-19 Pandemic

Fernandes said that the group is recovering from the impact of the COVID-19 pandemic and has used the opportunity to accelerate its digital transformation, Bernama reported.