GURUGRAM- Tata-owned Air India Group has successfully completed the merger of Air India (AI) and Vistara (UK) to form the only full-service carrier in India on November 11, 2024.
This development follows the Group’s previous consolidation of its low-cost airlines, Air India Express and AIX Connect (formerly AirAsia India), which merged on October 1, 2024.
Quadruple to Duo: Air India Group Airlines
The integration unites Tata-owned airlines under one umbrella, aligning into two clear operating divisions: one full-service and one low-cost airline.
The integration advances the Group’s five-year Vihaan.AI transformation strategy, which aims to establish Air India as a global aviation leader while maintaining its Indian heritage.
Air India’s full-service division deploys 208 aircraft to serve over 90 destinations through 5,600 weekly flights. The airline transports 120,000 daily passengers and extends its reach to 800 destinations through partnerships with 75 codeshare and interline carriers.
The two-year integration process has achieved several key milestones:
- Integrated 6,000 Vistara employees into a new organizational framework
- Harmonized operating procedures across all four airlines
- Aligned 140 IT systems
- Consolidated 4,000 vendor contracts
- Transferred 270,000 customer reservations
- Migrated 4.5 million Club Vistara members to the modernized Maharaja Club loyalty program
Also Read Unfair: Vistara Engineers and Technicians Getting Less Salary Compared to Air India
Combined Efforts of Private and Public Sector
Key regulatory bodies, including India’s DGCA, MoCA, and BCAS, closely monitored and supported Air India Group’s parallel merger operations. Multiple international regulators also provided essential oversight for this complex integration.
The Vihaan.AI transformation program has achieved significant milestones:
- Ordered 500+ new aircraft with deliveries in progress
- Launched a USD 400 million aircraft interior modernization program
- Established a 600,000 square feet training facility capable of training 2,000 employees daily
- Started construction on a 12-bay maintenance facility, set to open in early 2026
- Recruited and trained over 9,000 new employees
- Modernized the entire IT infrastructure
Campbell Wilson, Air India’s Managing Director & CEO, emphasized the merger’s significance: “The Air India-Vistara merger marks the completion of our post-privatization restructuring phase. Our teams have orchestrated a seamless transition of personnel, assets, operations, and customer services across all four airlines.”
Wilson acknowledged several key contributions:
- Regulatory support from DGCA, MoCA, and BCAS
- Staff dedication in managing the merger while implementing comprehensive business transformations
- Employee commitment during the integration of 100+ new aircraft
- Customer loyalty throughout the transition period
The CEO reaffirmed Air India’s commitment to evolving into a world-class global carrier while maintaining its Indian identity, highlighting how the transformation serves to enhance customer experience.
The ownership structure shifts significantly as Singapore Airlines, previously holding a 49% stake in Vistara, now commands a 25.1% ownership position in the consolidated Air India group.
Who flies Where and which Aircraft?
Air India after its merger with Vistara has a fleet of 210 aircraft and they are as follows:
- A319- 8
- A320- 108
- A321- 27
- A350- 6
- Boeing 777- 27
- Boeing 787- 34
All these planes will fly to Air India and Vistara’s existing domestic and International routes, and some of them will be combined amid network optimization.
Here’s the snapshot of Vistara routes:
Here are the details on Air India Express after the merger with AIX Connect:
Air India Express now has a fleet of 90 Aircraft and they include:
- Airbus A320- 29
- Boeing 737- 61
Here are the routes they operate:
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