Southwest Airlines (LUV.US) and Archer Aviation (ACHR.US) plan to work together to build an electric air taxi network.

Southwest Airlines (LUV.US) and Archer Aviation (ACHR.US) announced Friday that they have signed a memorandum of understanding to develop a battery-powered air taxi network that will use Archer Aviation's (ACHR.US) eVTOL aircraft at airports operated by Southwest.

Southwest Airlines said it hopes to use Archer air taxi service to provide more convenience to passengers flying Southwest at airports in busy city areas.

The Archer Midnight aircraft is designed to change the way people get around cities, replacing a 60- to 90-minute car commute with a 10- to 20-minute electric air taxi flight. Archer aims to provide a safe, low-noise, zero-emission, cost-competitive transportation option.

In the future, Southwest and Archer plan to work together on the operating concept to lay the groundwork for an integrated battery-powered air taxi network and to support the Southwest airports and communities they serve. The partnership will include collaboration with Southwest (LUV) employees and their respective unions (including SWAPA) to maintain and enhance efficient operations.

"Archer and Southwest Airlines plan to collaborate on eVTOL operations in the coming years. Combining the Archer aircraft and the planned urban air mobility network with Southwest flights will provide a better experience for the first and last miles of a client journey."

As of the time of publication, Archer Aviation's stock was up 3.72% and Southwest Airlines was down 0.37%.