November 12, 2024
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How Startups Like Salient Motion Aim to Overcome Regulatory Hurdles and Incumbent “Margin-First Mentality”

Slow-moving industries with sizable profit margins are often prime targets for innovative newcomers, and aerospace is no exception—at least at first glance. Established aircraft suppliers charge high prices and closely guard their market share, but their most formidable shield is the stringent safety regulatory framework overseen by agencies like the FAA. This certification gauntlet has historically deterred many would-be challengers. As a result, companies with deep pockets and proven track records remain entrenched at the top, able to command premium prices without facing significant competition.

Salient Motion, a startup spotlighted in the article, believes that these legacy suppliers use a “margin-first mentality,” employing anti-competitive measures to fend off potential rivals. Yet, the company argues that the same rules designed to ensure safety—when approached with modern, agile processes—can be navigated more rapidly than before. By optimizing production methods and reusing software code across various aircraft parts, Salient Motion aims to simultaneously maintain safety standards and cut time to market. The big question remains whether such agile newcomers can meaningfully breach this regulatory moat and shift industry practices, or if a protective web of certification requirements will keep incumbents firmly in control.

Read the full article on Aviation Week

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