Merlin Announces Plans to Pursue a Civil Certification Strategy for Large Aircraft
Merlin pivots its autonomy certification focus from small to large aircraft, reusing prior regulatory work while ending its New Zealand small-aircraft STC bid.
Rhea-AI Summary
Merlin (MRLN) will shift its civil certification strategy from small to large aircraft, withdrawing its small-aircraft STC application with the Civil Aviation Authority of New Zealand.
The company plans a phased approach to certifying its Merlin Pilot autonomy system on large, high-assurance aircraft, leveraging experience from its New Zealand program and its C-130J autonomy work with U.S. Special Operations Command. Merlin has completed preliminary and critical design reviews on the C-130J program, and its New Zealand certification work achieved SOI 3 and a Stage 4 issue paper on AI/ML-based natural language processing, which will inform future collaboration with the FAA and other regulators.
Positive
- Completed preliminary and critical design reviews for C-130J autonomy program with USSOCOM
- Achieved SOI 3 milestone in New Zealand civil certification program
- Secured Stage 4 issue paper on AI/ML-based natural language processing with CAANZ
- Single Merlin Pilot platform underpins both defense and civil programs, allowing investment reuse
Negative
- Withdrawal of small-aircraft STC application with New Zealand regulator ends that certification path
Details
Market reaction after civil certification strategy: MRLN -7.52%
Following this news, MRLN has declined 7.52%, reflecting a notable negative market reaction. Our momentum scanner has triggered 17 alerts so far, indicating notable trading interest and price volatility. The stock is currently trading at $3.13.
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Key Figures
- Large commercial aircraft
- Over 7,000 aircraft
- In service in the U.S.
- Stage of Involvement
- SOI 3
- CAANZ civil certification program
- Issue paper
- Stage 4
- AI/ML-based natural language processing certification
Historical Context
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CAANZ designated Merlin as a Part 146 Aircraft Design Organization.
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Merlin achieved SOI 3 and concluded an AI/ML certification issue paper.
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Key Terms
supplemental type certificate regulatory
bilateral aviation safety agreement regulatory
ai/ml-based natural language processing technical
AI-generated analysis. How Rhea-AI works. Not financial advice.
- Merlin will refocus its civil certification strategy from small to large aircraft through a phased approach, offering opportunities for safety and efficiency gains
- The strategy builds on Merlin's work integrating the Merlin Pilot onto large, high-assurance aircraft in the defense sector, including its C-130J autonomy program with U.S. Special Operations Command
BOSTON, Sept. 09, 2026 (GLOBE NEWSWIRE) -- Merlin, Inc. (NASDAQ: MRLN), a U.S. aerospace and defense technology company building the operating system of record for autonomous flight, today announced plans to pursue a civil certification strategy that sets it on a path to bring autonomy to large aircraft. Merlin intends to implement a phased, methodical approach offering opportunities for safety and efficiency gains. To concentrate its efforts on large aircraft, the company is withdrawing its small aircraft Supplemental Type Certificate (STC) application with the Civil Aviation Authority of New Zealand (CAANZ), and will apply the technical foundation and regulatory experience it built there to the new program. New Zealand will remain Merlin's Pacific flight test center and demonstration home, and the company intends to begin commercial operations there.
There are over 7,000 large commercial aircraft in service in the U.S. alone, and much of that fleet lacks modern computing capabilities and faces lengthy upgrade timelines. Because these aircraft fly long routes at high utilization, the operational benefits compound across thousands of flight hours a year. U.S. operators spend approximately
“Operators are already facing real challenges around crew availability, mission complexity, and operating efficiency, creating a growing demand for technology modernization on large aircraft,” said Matt George, CEO and founder, Merlin. “Our work in New Zealand allowed us to move quickly, mature the Merlin Pilot and make meaningful progress on certifying autonomy with a civil regulator. We are now applying that experience and technical foundation to large aircraft, which we believe is the most effective way to bring our technology and American ingenuity to the global market while meeting operators where the commercial need is greatest. We are incredibly grateful to the CAANZ team for their partnership and look forward to continuing that relationship as we enter this next phase.”
Merlin is already working on integrating the Merlin Pilot onto large, high-assurance aircraft. The company has completed preliminary and critical design review under its C-130J autonomy program with U.S. Special Operations Command (USSOCOM). The same core Merlin Pilot platform underpins Merlin's defense and civil programs, so investment in one program compounds across the others.
Merlin began its certification program with the CAANZ, in coordination with the Federal Aviation Administration (FAA) under a Bilateral Aviation Safety Agreement, early in its development. The program was designed to mature Merlin’s technology, verification processes, testing, and certification approach while working closely with a civil aviation regulator. That program produced meaningful results including achieving its Stage of Involvement (SOI) 3 milestone and a Stage 4 issue paper addressing the use of AI/ML-based natural language processing. These achievements generated valuable regulatory insights that will inform Merlin’s future certification and collaboration efforts with the FAA and other regulators working to safely bring autonomy to commercial markets.
About Merlin
Merlin is an aerospace and defense technology company building the operating system of record for autonomous flight. Through a first-principles approach, the company is redefining what’s possible across aviation, aerospace, and defense with the goal of delivering full-stack autonomy for any aircraft, military or civilian, from takeoff to touchdown. The Merlin Pilot system powers a growing range of aircraft and mission profiles, proven through hundreds of autonomous flights from test facilities across the globe. With
Cautionary Statement Regarding Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words such as “anticipate,” “believe,” “estimate,” “expect,” “forecast,” “intend,” “may,” “plan,” “potential,” “project,” “target,” “will,” and similar terms. All statements other than statements of historical fact should be considered forward-looking statements, including without limitation statements regarding: Merlin's plans to pursue a civil certification strategy for large aircraft, and the anticipated timing and outcomes of that strategy; Merlin's plans to apply the technical foundation and regulatory experience developed through its small aircraft certification program; Merlin's plans regarding continued flight testing, demonstration activities, and commercial operations in New Zealand; expected synergies and compounding benefits across Merlin’s defense and civil programs; and the anticipated benefits and future development of Merlin's autonomous flight technology. These forward-looking statements are based on our current expectations, assumptions, and projections about future events and trends. These forward-looking statements are neither promises nor guarantees, but involve known and unknown risks and uncertainties that could cause actual results to differ materially from those expressed or implied by the forward-looking statements, including without limitation the risks and uncertainties detailed under the section entitled "Risk Factors" of our final prospectus, dated May 13, 2026, filed with the SEC on May 13, 2026, and in our Quarterly Reports on Form 10-Q. This press release also contains estimates and other information regarding our industry and market, including the size of the large commercial aircraft market, operator spending levels, and pilot supply and demand projections, which are based on management estimates, which have been derived from third- party sources, as well as data from our internal research. While we believe the estimated industry and market data included in this press release are generally reliable, such information, which is derived in part from management’s estimates and beliefs, is inherently uncertain and imprecise. Except as required by applicable law, we undertake no obligation to update any of these forward-looking statements after the date of this press release.
Media Contact
Kristen Georgette
617-842-6064
merlin@pluckpr.com
FAQ
What specific change is Merlin making to its certification strategy?
Merlin is refocusing its civil certification strategy from small to large aircraft. To do this, the company is withdrawing its small aircraft Supplemental Type Certificate (STC) application with the Civil Aviation Authority of New Zealand and intends to apply the technical foundation and regulatory experience from that program to a new large-aircraft certification effort.
What role will New Zealand play for Merlin after withdrawing the small-aircraft STC application?
New Zealand will remain Merlin's Pacific flight test center and demonstration home. The company also intends to begin commercial operations there, even though it is no longer pursuing a small-aircraft STC with the Civil Aviation Authority of New Zealand.
How is Merlin leveraging its defense work for civil large-aircraft autonomy?
Merlin is already integrating the Merlin Pilot onto large, high-assurance aircraft and has completed preliminary and critical design reviews under its C-130J autonomy program with U.S. Special Operations Command. The same core Merlin Pilot platform supports both defense and civil programs, so technical and certification investments in one program are intended to benefit the others.
What regulatory progress did Merlin make with the Civil Aviation Authority of New Zealand?
Merlin's New Zealand certification program achieved its Stage of Involvement (SOI) 3 milestone and resulted in a Stage 4 issue paper addressing the use of AI/ML-based natural language processing. The company said these outcomes provide regulatory insights that will guide its future certification and collaboration with the FAA and other regulators.