Zunum Aero

Zunum Aero was founded in 2013 by Ashish Kumar and Matt Knapp to develop hybrid-electric regional aircraft.⁵⁶⁸ The company received investments from Boeing HorizonX and JetBlue Technology Ventures, but ran out of money and shut down most operations in 2019.²⁵⁶⁹¹¹ Zunum sued Boeing in 2020 for trade secret misappropriation and interference, and after a jury verdict and appeals, the Ninth Circuit reinstated an $81 million damages award in 2025.^5671517

Timeline

Money raised

Boeing and JetBlue invested a combined $6.2 million in Zunum Aero.⁵ Boeing made $9 million in loans to Zunum Aero.⁴ Zunum Aero received an $800,000 grant from Washington state's Clean Energy Fund.⁵⁶ Zunum Aero used less than a third of the Washington Clean Energy Fund grant before it folded.⁵⁶ A jury awarded Zunum Aero $72 million in damages in 2024.⁴⁶ The Ninth Circuit reinstated an $81 million damages award in 2025.⁵⁷¹⁵¹⁷

Investors named in the sources: Boeing HorizonX⁵⁶, JetBlue Technology Ventures⁵⁶.

What happened

Zunum Aero was founded in 2013 by Ashish Kumar and Matt Knapp.⁵⁶⁸ The company was based in Bothell, Washington.⁴⁶⁸ Zunum Aero aimed to develop hybrid-electric regional aircraft.¹⁵⁶ The company planned to build a family of hybrid-electric aircraft that could carry up to 50 passengers.⁵ Zunum Aero received investments from Boeing HorizonX and JetBlue Technology Ventures.⁵⁶

Boeing and JetBlue invested a combined $6.2 million in the startup.⁵ Boeing made $9 million in loans to Zunum Aero.⁴ Zunum Aero received an $800,000 grant from Washington state's Clean Energy Fund.⁵⁶ In 2017, Zunum Aero forged a partnership with Boeing.⁴ Zunum Aero struggled to raise additional funding.¹¹¹³

In January 2019, Zunum Aero was reported to be struggling to close its latest fundraising effort.¹³ In July 2019, Zunum Aero laid off staff and struggled to raise money after Boeing backed away.¹¹ Zunum Aero reportedly shut down operations due to insufficient funding.² Zunum Aero ceased most of its operations and laid off its staff in 2019.⁵⁶⁹ The company paused most developmental activities and stored its hardware at leased facilities in Washington and Indiana.⁵⁶

Zunum Aero used less than a third of the Washington Clean Energy Fund grant before it folded.⁵⁶ In 2020, Zunum Aero sued Boeing in King County Superior Court.⁵⁶¹⁶¹⁸ Zunum alleged that Boeing misappropriated its trade secrets and interfered with its efforts to bring in more investment from companies associated with Safran.⁴ Zunum accused Boeing of a targeted and coordinated campaign to access Zunum's proprietary information, intellectual property, and trade secrets.⁵⁶ Boeing denied the allegations, claiming that Zunum Aero failed due to mismanagement and a lack of a realistic business plan.⁵⁶

Boeing said it had developed a conceptual mock-up to evaluate the feasibility of Zunum's hybrid electric aircraft and concluded that the proposed plane would not be economically feasible for commercial flight anytime soon.⁵⁶ After an eight-day trial in May 2024, a federal jury found that Boeing misappropriated Zunum's trade secrets and breached its contract with the startup.⁴⁶⁷ The jury awarded Zunum $72 million in damages.⁴⁶ The jury found that Boeing misappropriated 11 of Zunum's trade secrets and unjustly enriched itself in the process.⁷¹²¹⁵ The jury also found that Boeing's misappropriations were willful and malicious.⁷¹²

In August 2024, Judge James Robart overturned the verdict, ruling that Zunum did not provide sufficient evidence that the information shared with Boeing could be considered trade secrets.⁴⁶⁸ Judge Robart also agreed with Boeing that Zunum failed to provide substantial evidence that it had a valid business expectancy with Safran and did not suffer harm due to any interference from Boeing.⁴ On August 14, 2025, the Ninth Circuit Court of Appeals unanimously reversed Judge Robart's decision and reinstated the jury verdict.^5671517 The appeals court found that Zunum introduced substantial evidence that Boeing interfered with the startup's business prospects and used its information in developing its own hybrid-electric aircraft.⁵⁶ The case was reassigned to a new district judge.⁵⁶

The reinstated verdict holds that Boeing misappropriated 11 of Zunum's trade secrets and unjustly enriched itself in the process.⁷ The jury also found that Boeing breached an NDA and tortiously interfered with Zunum's prospective relationship with the Safran Group.⁷ The district court will determine Zunum's post-judgment motion seeking prejudgment interest, as well as exemplary damages and attorneys' fees on the trade-secret verdict.⁷ Zunum Aero's equipment is currently stored at leased facilities in Washington and Indiana.⁵

Legal outcomes

• filedZunum Aero sued Boeing in 2020 for trade secret misappropriation and interference.⁵⁶¹⁶¹⁸
• filedA federal jury found Boeing misappropriated Zunum's trade secrets and awarded $72 million in damages.⁴⁶⁷
• dismissedJudge James Robart overturned the jury verdict in August 2024.⁴⁶⁸
• pendingThe Ninth Circuit Court of Appeals reinstated the jury verdict in August 2025.^5671517

Where the founders are now

Zunum Aero CEO Ashish Kumar hopes the appeals court ruling will set a precedent in aviation, calling it a victory for the startup and every American innovator who dares to challenge the status quo.⁵

Sources

1. Appeals Court Reinstates Damages Against Boeing In ..., aviationweek.com, Aug 15, 20
2. Hybrid aircraft startup Zunum Aero hits financial trouble: reports, FlightGlobal, Jul 10, 20
4. Zunum Aero – Cosmic Log, Cosmic Log
5. US Court Sides With Zunum (Again), Reinstating $81M Verdict Against Boeing, Simple Flying, 2025-08-19
6. Boeing interfered with electric plane startup Zunum, appeals court finds, Sea-Tac Noise Information, Aug 15, 20
7. Ninth Circuit Reinstates HSG’s $81 Million Jury Verdict Against Boeing, hsgllp.com, Aug 14, 20
8. Federal judge overturns $72 million Zunum lawsuit against Boeing - Lynnwood Times, Lynnwood Times, 2024-08-15
9. Zunum Aero Archives - Airplane Geeks Podcast, Airplane Geeks Podcast
11. Boeing Backs Away From Zunum Aero, Founders Struggle ..., forbes.com, Jul 2, 201
12. Zunum Aero, Inc. v. The Boeing Company, et al., analysisgroup.com
13. Zunum Runs Into Financing Trouble | AIN, Aviation International News, Jan 3, 201
15. Startups, Trade Secrets, and Aerospace: Ninth Circuit Restores $81.2m Verdict in Zunum-Boeing Lawsuit | Knobbe Martens, Knobbe Martens, Sep 26, 20
16. ZUNUM AERO, INC. V. THE BOEING COMPANY, 24-5751 ..., law.justia.com, Aug 26, 20
17. US court reinstates $81 million award against Boeing in ..., reuters.com, Aug 14, 20
18. zunum aero, inc. v. the boeing company, cdn.ca9.uscourts.gov, Aug 26, 20

How this case file was put together

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