One year after the merger of Vistara with Air India, the airline's operational performance has yet to meet expectations. The combined fleet size has diminished from 298 aircraft at the merger's inception to 187, with further reductions in the pipeline. Flight frequencies have decreased, as the airline scaled back from over 5,600 weekly flights to approximately 4,823, including the suspension of services to Washington, while maintaining some international routes like London Heathrow.
The airline initially targeted a market share of 30% within five years through its Vihaan.AI program. While it nearly reached this target in September 2024, its market share has since declined slightly to 27.4% by September 2025. Various challenges, such as supply chain setbacks, geopolitical factors, and delays in fleet upgrades, have hampered its growth trajectory. Efforts are underway to modernize its fleet, including the introduction of new aircraft like the Boeing 787 and Airbus A350, to enhance competitiveness and passenger experience.
Operational and Strategic Challenges
Despite progress, delays in key projects, such as establishing an aviation academy and completing aircraft retrofit programs, point to ongoing organizational hurdles. Upgrading the fleet and expanding international routes remain crucial for Air India's long-term strategy to attract transfer passengers and counteract the impact of a weakening rupee.
As the airline works toward its ambitions, it faces the realities of a complex, dynamic aviation sector. Continued investments in fleet modernization, staff training, and network expansion are vital to realize its future growth and operational goals.
