Tata Sons has indicated that Air India’s transformation could take up to 10 years, extending the airline’s earlier turnaround timeline. Chairman N Chandrasekaran shared the update in the company’s annual report released late on Monday.
The statement comes as India’s second-largest airline continues to face challenges, including airspace restrictions, rising fuel costs due to the West Asia conflict, and the impact of last year’s fatal aircraft crash.
Chandrasekaran said the airline’s revival will require more time due to ongoing supply-chain issues affecting key components, along with the need to modernise legacy systems, reshape organisational culture, upgrade the fleet, and expand its technical and aviation workforce.
The updated timeline marks a shift from the five-year Vihaan.AI transformation plan launched in September 2022 by former Air India CEO and Managing Director Campbell Wilson.
Wilson is scheduled to step down as Air India’s CEO on September 30 after completing his notice period, while the airline has not yet announced his replacement.
Air India reported a higher net loss of ₹22,238 crore ($2.32 billion) for the financial year ended March 2026, compared with a loss of ₹10,859 crore in the previous year.
India’s aviation sector has witnessed a strong recovery after the pandemic, but airlines continue to face profitability pressures due to elevated costs, supply-chain challenges, and intense competition over fares.