Can Air India's new Airbus A350 and Boeing 787-9 fleet restore its First Class glory?

The Tata Group investment in Air India is now highly visible. Exactly one year ago, Air India’s management made a bold declaration. Its new Air India First Class product would rival private jets on long-haul routes. Routes like Delhi to London or New York were specifically targeted. Chief Commercial Officer Nipun Aggarwal noted that private jets require a stop to reach the US from India. The new premium product allows for a faster, nonstop alternative.

Massive Investment in Fleet Modernization

Air India has invested ₹9,558 crore in fleet upgrades. This capital commitment is part of a larger plan. The Tata Group investment aims to enhance the entire customer experience. The airline welcomed its first new Boeing 787-9 on Christmas Day, 2025. The first Airbus A350-1000 is also set to arrive this month.

These new aircraft feature updated interior designs. They also include modern in-flight entertainment systems. The seating uses the airline’s new color palette. The $400 million fleet retrofit program is substantial.

Cabin and Technology Upgrades

Over 104 A320 family aircraft already sport new interiors. Another 26 B787-8 aircraft are currently in the refurbishment pipeline. The airline has 570 new aircraft on firm order. The Air India Group expects to induct 46 aircraft in 2026. This includes 40 narrow-body and six wide-body aircraft.

Retrofit planes feature new leather seats and USB charging ports. Updated cabin lighting is also part of the refresh. Passengers will experience new onboard technology. This includes native in-flight Wi-Fi access. The Vista Stream service offers over 900 hours of entertainment. The Airbus A350 aircraft will feature a three-class cabin configuration. Air India also introduced Premium Economy on select narrow-body routes.

The Consistency Challenge: Reclaiming Trust

Air India is the second-biggest airline in India. It holds a 25% market share based on 3.9 million seats. The Air India Group market share rose to 26.7% in November 2025.

Experts agree that new cabins are only the foundation. Reclaiming its lost glory requires more than a facelift. It needs a deep reset of customer trust and perception. Henry H Harteveldt of Atmosphere Research Group notes this challenge. He says the airline must strive to be seen as an on-time machine.

Operational Reliability Gains

Operational performance in 2025 offers much hope. The airline’s November 2025 airline on-time performance was 77.38%. This is a substantial improvement from 63% in January 2022. By mid-2025, Air India bridged the punctuality gap. It reported 79.7% punctuality across six major Indian airports. This neared the performance of industry leader IndiGo.

Enhanced pre-flight safety checks contribute to reliability. Better crew rostering systems also help. These are enabled by digital transformation. The airline's operational focus is now on consistency. This must be visible across every touchpoint. This includes crew behavior and digital experience.

Intensifying Market Competition

The domestic aviation sector faces intensifying competition. Three new airlines are waiting to take off. Shankh Air, Al Hind Air, and FlyExpress are preparing to launch. They seek to challenge the dominance of the two major groups. The Air India Group and IndiGo together hold over 90% of the market. IndiGo’s share exceeds 65%.

The challenge is to sustain the momentum now. The first phase of change is largely complete. This includes new livery and retrofitted interiors. The true test is turning product truth into reliability. This will allow Air India to reclaim its lost sheen. For more commercial aviation news, visit flying.flights.