In a shocking turn of events, Lilium, a German electric aircraft startup that once soared to great heights, has shut down operations after failing to secure a crucial €50 million loan from the German government. This comes despite the company raising over $1 billion in funding from investors, including Tencent, and going public on the Nasdaq Exchange in 2021.

Lilium, which was developing vertical take-off and landing (VTOL) aircraft with speeds of up to 100 km/h, had been struggling to stay afloat. The company had faced a series of setbacks, including a prototype catching fire in 2020, which led to a pause in testing. Despite landing high-profile customers, including an order for 100 electric jets from Saudi Arabia, Lilium was still years away from delivering its product.

The company's failure to secure the government loan, which was intended to provide a lifeline, has led to its downfall. Lilium will now file for insolvency under German law, effectively losing control of its subsidiaries, including Lilium eAircraft.

This news is a significant blow to the electric aviation industry, which has been gaining momentum in recent years. Lilium's demise serves as a reminder of the challenges and risks involved in developing cutting-edge technology, and the importance of securing sufficient funding to see projects through to completion.