In a bold move to strengthen its aviation presence, Tata Sons is steering Air India and its low-cost counterpart, Air India Express, toward a dual-market growth strategy. As per a report by The Economic Times, the conglomerate has tasked Air India with aggressively expanding its international footprint, while Air India Express will be sharpening its domestic focus to compete with market leader IndiGo.
Following the recent merger with Vistara, Air India has been transformed into a larger full-service carrier, positioning itself to take on global competitors across lucrative international routes. The airline’s leadership is now aligned with Tata Group’s broader vision, aiming to build a world-class airline brand that competes on service quality and scale.
In a significant leadership shuffle, Air India CEO Campbell Wilson stepped down as chairman of Air India Express, with Nipun Aggarwal taking over the role. Additionally, Basil Kwauk—who played a key role in Vistara’s growth—has been appointed Chief Operations Officer of Air India and inducted into the airline’s board, signaling a renewed focus on operational efficiency and route expansion.
Tata Sons has emphasized the need for Air India to achieve operational breakeven by the end of FY27. This financial milestone is seen as critical to sustaining the long-term ambitions of the Tata Group in the aviation sector. With international routes offering higher profit margins, Wilson will now focus on making Air India globally competitive and efficient.
Meanwhile, Air India Express is being pushed to ramp up its domestic operations to directly take on IndiGo, India’s largest budget airline. The low-cost carrier has already added 45 new aircraft as part of its expansion drive. Executives have acknowledged that while managing the transformation and evolving passenger expectations is a challenging task, the changes are already bearing fruit in several areas.