Conceived by Alexander Lippisch, it was developed and built by Dornier on behalf of the Federal German Ministry of Defence (BMVg).

Experimentation did not continue due to lack of interest by the Bundeswehr (German Armed Forces).

[citation needed] The principle behind the Aerodyne is the combination of lift and thrust production in a single construction unit and flow channel, i.e. a ducted fan.

Flaps at the end of the fan divert the outflowing air to produce lift, thrust, or a combination of both.

For forward flight, the Aerodyne had a conventional tail unit at the rear, which allowed for pitch and yaw control.