Company: XTIA
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001213900-25-032213
Chunk: 2

Company: XTI Aerospace, Inc.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 1
Chunk 2
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 and comfort of a fixed-wing business
airplane with the point-to-point VTOL capability of a helicopter. Our target customers for the TriFan 600 include corporate and individual
business aircraft and helicopter operators, charter operators, major and regional airlines, and air medical operators. In terms of current
market size, the 2024 year-end General Aviation Aircraft Shipment Reports of the General Aviation Aircraft Manufacturers Association
(“GAMA”) reports total general (civilian, non-commercial) aircraft and helicopter shipments billings at approximately $31.2
billion for 2024, an approximate 12% increase from 2023.

We believe the anticipated differentiating performance capabilities
of the TriFan 600 – the unique versatility delivered by combining the best of a helicopter and a business airplane in one platform
which we expect will result in significant time and cost savings – will be attractive to customers and disruptive in existing markets.
As of the date of this filing, we have conditional pre-orders under a combination of aircraft purchase agreements, non-binding reservation
deposit agreements and options for the delivery of more than 290 airplanes. See “- Customers - TriFan 600” for more information.

In contrast to the eVTOL (electric vertical takeoff and landing) aircraft,
which are short-range air taxis for urban transport being developed by other companies (and not yet certified by the FAA), the TriFan
600 is expected to have significantly greater range of 700 miles in addition to the flexibility to take off and land vertically (VTOL),
conventionally (CTOL), or on short runways (STOL). With our initial configuration of two turboshaft engines, we expect that our customers
will be able to use much of the existing infrastructure on the ground, including more than 5,000 existing helipads in the U.S. alone,
as well as other landing areas where it is safe and legal to land and take off, including job sites, grassy areas, driveways, backyards,
other paved and improved surfaces, hospital helipads and regional airports, which may not contain the requisite charging infrastructure
for eVTOL aircraft. We expect that the TriFan’s speed, range, and comfort, as well as its flexibility in takeoff and landing sites
will offer a significant competitive advantage over eVTOL aircraft because eVTOL aircraft depend on the availability of battery or hydrogen
charging infrastructure which is not commercially available yet. We expect that the TriFan 600 will provide increased connectivity between
comm