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Unmanned aircraft systems represent innovative and emerging modes of transportation with substantial forecasted growth. Global UAS opportunity is projected to be $57 billion in 2030, with nearly $10 billion of that figure coming from the United States.

Still, barriers to widespread adoption remain. The implementation of UAS-driven systems is subject to:

• Regulatory challenges Beyond visual line-of-sight (BVLOS) drone operations are subject to strict regulations by the FAA. Laws enabling BVLOS operations will be a crucial precursor to enabling economic growth in the drone sector.
• Unit economics considerations Transitioning to UAS-driven alternatives requires viable economics that include both direct and opportunity costs.‍
• Public acceptance concerns Public perception around the risks of drone technology will limit its adoption, so education around the advantages of drone applications is necessary for sector growth.

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OUR THESIS

Newlab believes that in order to drive widespread adoption of advanced aerial mobility technologies, the focus needs to shift to real, high-potential industry use cases, including supply chain optimization, on-demand healthcare, and critical infrastructure monitoring.

Michigan, in particular, has a competitive advantage in driving this forward. The state is strategically positioned to activate advanced aerial mobility (AAM) growth by leveraging the state’s sizable supply chain and manufacturing base. The state of Michigan has a unique opportunity to lead the country in AAM adoption by catalyzing emerging, demand-led use cases and aligning pathways to scale operations.

Opportunity Spaces

In order to mobilize industry around viable B2B use cases, there are three primary strategic pathways to pursue:

1. INFLUENCE POLICY & REGULATIONS: To drive industry-wide adoption, we need to (1) focus on impactful pilot programs, (2) expand successful concepts like the Advanced Aerial Innovation Region (AAIR) – a first-of-its-kind advanced aerial urban initiative to accelerate commercial drone development and position Michigan as a leader in next-gen aerial mobility –  to gather crucial BVLOS data, and (3) align our strategies with state initiatives like "Make it in Michigan" to boost supply chain and manufacturing efficiency.
2. ALIGN & ACTIVATE DEMAND THROUGH TARGETED PILOTS AND INFRASTRUCTURE INVESTMENT: Scale successful pilots, focus on cross-border use cases, engage key industry stakeholders, launch new pilots for supply chain and logistics, and invest in strategic infrastructure to create robust, economically viable networks.
3. GRADUALLY INTRODUCE PUBLIC-FACING APPLICATIONS: Develop pilots focused on public good, particularly for underserved populations, to balance the focus on supply chain and manufacturing. Amplify these efforts to educate the public on the safety and benefits of drone technologies, fostering acceptance, and use public feedback to scale impactful B2C applications.

WHO SHOULD APPLY?

Are you a startup looking to test your advanced aerial solution in a one-of-a-kind testbed? Our unique facility offers visibility and exposure, helping you easily create manufacturing relationships. Scale your drone technology with high-touch support.

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Are you a business looking for a way to gain greater efficiencies in supply chain and logistics operations by leveraging emerging mobility solutions?

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WHY THIS OPEN CALL
MATTERS

The adoption of aerial drone transportation systems can bolster several high-potential use cases, including:

• Supply chain & manufacturing With drones, supply chain & manufacturing businesses can maintain accurate inventory, improve assembly and delivery efficiency, offer on-demand movement of high-value cargo, and much more.
• Environmental services Drones enable improved access to natural resources for quality testing.
• Emergency services AAM adoption allows emergency services to offer an on-demand emergency response, reducing the lag between emergency and treatment.
• Healthcare Drones enable the on-demand delivery of medical samples and supplies between labs, clinics and hospitals.
• Infrastructure inspection With drone systems, businesses and governments can more frequently and flexibly monitor critical infrastructure.

For Startups

• PARTNERSHIP OPPORTUNITIES: Curated introductions and opportunities to co-develop pilots, scale projects, and explore new use cases with potential customers
• TESTING INFRASTRUCTURE: Access to pilot sites that enable rapid deployment in real-world operating environments
• STRATEGIC VISIBILITY: Opportunities to showcase technology at Newlab locations in Detroit and Brooklyn
• PAID PILOTS & INVESTMENT OPPORTUNITIES: Potential to receive funding for pilot projects in the AAIR, as well as opportunities for venture investment

For Partners

• VALUE CHAIN COLLABORATION: Opportunity to co-develop projects to de-risk novel technology with both public and private sector partners
• INFLUENCE PILOT PROJECTS: Shape pilot scenarios and KPIs; nominate startup partners to participate in paid pilots
• ACCESS DEAL FLOW: Access to a pipeline of qualified startups in your focus areas
• INSIGHTS & PILOT DATA: Receive synthesized insights and pilot data resulting from Challenge projects
• CONVENINGS: Invitations to three convenings per year to assess progress and learnings against Challenge projects and engage with startups and technology demonstrationss

ABOUT THE PARTNER(S)

Michigan Central

Michigan Central is a novel ecosystem combining Detroit’s rich history and its commitment to shaping the future of transportation worldwide to form a global hub for mobility innovation.

OFME

The Office of the Future of Mobility and Electrification works across state government, academia and private industry to enhance Michigan’s mobility ecosystem, including developing dynamic mobility and electrification policies and supporting the startup and scale up of emerging technologies and businesses.

MDOT

MDOT oversees Michigan's 10,000-mile state highway system, which includes all M, I, and US routes, forming the core of the state's 120,000-mile network of highways, roads, and streets.

Airspace Link

Airspace Link aims to enable the safe integration of drones into the national airspace and communities at scale through digital infrastructure, strategic partnerships, and thought leadership.

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