In a landmark step towards transforming India’s aviation landscape, the Air India Group has finalised the operational integration and legal merger of Air India with Vistara, creating a comprehensive full-service carrier under the Air India name. This consolidation forms part of the ambitious Vihaan.AI transformation programme, a five-year plan designed to position Air India Group as a premier global airline with a distinctly Indian identity. Earlier this year, the Group also merged its low-cost airlines, Air India Express and AIX Connect (formerly AirAsia India), further consolidating Tata’s four airlines into two entities – one full-service carrier and one low-cost airline.
The newly unified Air India Group now operates over 8,300 weekly flights on 312 routes, connecting more than 100 destinations globally with a fleet of 300 aircraft. The full-service Air India operates 5,600 weekly flights, covering over 90 destinations with its 208-strong fleet, and will now serve more than 120,000 passengers daily. Through over 75 codeshare and interline partnerships, Air India offers connectivity to over 800 global destinations, enhancing its international reach.
This merger has been years in the making, involving the seamless integration of Vistara’s 6,000-strong staff into a unified organisational structure, the alignment of 140 IT systems across the airlines, and the consolidation of over 4,000 vendor contracts. Notably, 270,000 customer bookings and 4.5 million Club Vistara loyalty accounts have been migrated into Air India’s updated loyalty programme, Maharaja Club. Coordination with India’s Directorate General of Civil Aviation (DGCA), Ministry of Civil Aviation (MoCA) and other key domestic and international regulatory bodies ensured smooth progress throughout this complex process.
Air India Group’s ongoing transformation efforts under Vihaan.AI include an order of over 500 new aircraft, a US$400 million refurbishment of interiors for its existing fleet, and the opening of a state-of-the-art 600,000-square-foot training centre capable of training up to 2,000 employees at a time. Plans for a 12-bay maintenance facility, expected to open in 2026, are also underway. The Group has modernised its IT infrastructure, added over 9,000 new employees, and is expanding its operational and training capabilities to support the company’s ambitious growth plans.
The completion of these mergers underlines Tata’s commitment to reinvigorating Air India’s brand and expanding its influence on both regional and global stages. Through the Vihaan.AI initiative, Air India Group is poised to become a highly competitive and efficient player in the international aviation industry.
Consequent to the merger of Vistara and Air India, Singapore Airlines, which held a 49% share in Vistara, becomes a 25.1% shareholder in the resultant Air India Group.
