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I did see some flying taxi trials are happening in China, so I think that's the most likely use case for them assuming they're automated.
Yeah i seen it too though that flying taxi looked pretty good in comparison, like big drone basically. Also it was just a flying vehicle and this here is also a car.
Finally, it's still wasteful and aimed at rich people, it would also require early centralised flight control service to avoid accidents (though i admit it would be feasible unlike the self driving cars), and in such case again, why not just use train, especially that it would also allow to reduce traffic, negating even the need for flying car.
I do think it's probably more of a cool toy than a practical solution like a train. But, as long as it doesn't take away from building more trains, I'm not too bothered. It's also kinda cool to see them pushing the boundaries of technology. People have been dreaming about flying cars for ages, and now it's like a symbol of the future. So, these things show off how advanced China has become in a way everyone can see.