Tata’s Air India To Announce Huge Commercial Aircraft Deal
NEW DELHI, (IANS) – Air India CEO Campbell Wilson on January 27 announced that the flag carrier is finalizing a “historic order” of new aircraft to strengthen its fleet as the airline marked a year of its takeover by the Tata Group.
In a communication to Air India employees, the CEO said: “Finalizing a historic order of new aircraft to power future growth.”
“Even as we work on improving Air India, we have not shied away from other ambitious actions, such as merging Air India Express with Air Asia, or Vistara with Air India, or kicking off the establishment of a new InfoTech Centre, or an Aviation Academy. And that’s not to mention our much talked-about short- and-medium term fleet expansion,” he added.
As per industry sources and reports, the order may include 190 Boeing 737 MAX planes, 20 Boeing 787s and 10 Boeing 777X planes.
The sources said that this is nearly half of the order of the total of 495 jets which the airline has planned in the coming weeks to stay competitive in the aviation market.
Tata Group took over debt-laden Air India a year ago, on January 27, 2022, from the Central government, marking the beginning of a new journey for the carrier.
In November 2022, Singapore Airlines (SIA) and Tata Sons agreed to merge Air India and Vistara, with SIA investing $250 million in Air India as part of the transaction.
With the integration, Air India became the only Indian airline group to operate both full-service and low-cost passenger services.
It can optimize its route network and resource utilization, be flexible and agile in capturing demand across market segments and tap on a larger consumer base to strengthen its loyalty program. This would reinforce its position as India’s largest international carrier and second largest domestic carrier, allow it to offer more options and connectivity for business and leisure customers, and enable it to compete as a leading global airline.
The present management at Air India is driving the five-year transformation roadmap under the aegis of Vihaan.AI to establish itself as a world-class global airline with an Indian heart.
Appointment of Campbell Wilson, a non Indian is a great move to create international credibility and professionalism and efficiency.
Planning to acquire approximately 500 aircrafts from Boeing is another strategic move. Merging with Air Asia and Singapore Airlines is another major step towards increasing market share. Well begun is half done. It appears Air India owned by Tatas appear to be well positioned to expand and meet competition.
37 million Indian Diaspora is a great market that was not exploited by government owned Air India. Indian Diaspora is affluent and looking for professionalism and service. Indians do not want to be treated as a second class citizens by any Indian airline. The demand for Business Class and First Class will be higher. If the Boeing aircrafts can provide more space between the row of seats so that passengers can get in and get out with ease if they sat next to windows. will be helpful.
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I wish Tatas Air India success.