Air India–Vistara Merger Cleared: How the New Mega-Carrier Will Transform Fares, Routes and Loyalty Perks

Air India’s rapid-growth strategy was jolted on 12 June 2025 when flight AI171, a Boeing 787-8 Dreamliner (registration VT-ANB), crashed moments after take-off from Ahmedabad’s Sardar Vallabhbhai Patel International Airport en route to London Gatwick. Police and airline officials say the jet was carrying at least 242 passengers and crew when it plunged into the Meghani residential area just beyond the runway perimeter, igniting a fireball that sent thick black smoke towering over the city. Emergency services arrived within minutes, ferrying injured survivors to nearby hospitals while firefighters battled burning debris scattered across narrow streets. No official casualty count has been released, but state rescue coordinators warned that “significant” fatalities are feared. India’s civil-aviation minister, calling the event “shocking and devastating,” placed all national agencies on high alert as search-and-rescue operations continued past nightfall. Flightradar24 ADS-B data show the wide-body jet reached only about 625 ft above ground before losing altitude at roughly –475 ft per minute, suggesting a loss of thrust or controllability seconds after rotation. The Directorate General of Civil Aviation (DGCA) has opened a formal investigation; a team from the Aircraft Accident Investigation Bureau is en route, and Boeing has offered technical assistance. Air India’s X (formerly Twitter) account posted: “Flight AI171, operating Ahmedabad–London Gatwick, was involved in an incident today. We are ascertaining details and will share updates.” Executives also activated an emergency call centre and family-assistance programme. The aircraft involved entered Air India’s fleet in 2015 and underwent A-check maintenance six weeks ago, according to airline records reviewed by DGCA inspectors. While the 787-8’s composite structure has generally enjoyed a solid safety record worldwide, investigators will focus on engine integrity, flight-control software and potential wildlife strikes—a known risk at the Ahmedabad airfield during early-summer heat. Today’s accident is the carrier’s first hull loss since the Air India Express runway overrun at Kozhikode in 2020 and the deadliest incident for the brand since the 2010 Mangalore disaster. It comes amid an ambitious, Tata-backed turnaround plan that includes a $70 billion order for 470 new aircraft, the merger with Vistara and a re-imagined customer experience. Analysts say the crash could test investor confidence, insurance costs and the timeline of the “Vihaan.AI” five-year transformation roadmap. 
What happens next • Black-box recovery: Flight data and cockpit voice recorders have been located, according to airport officials; extraction is expected within 24 hours. • Grounding decision: DGCA has not issued a fleet-wide grounding, but enhanced inspections of Air India’s 787s are likely over the next 48 hours. • Passenger support: The airline has dispatched special flights to reposition relatives to Ahmedabad and London; counsellors have been stationed at both airports. • International coordination: UK’s Air Accidents Investigation Branch (AAIB) and the European Union Aviation Safety Agency (EASA) will participate because the destination was Gatwick and many passengers held EU passports. 
Broader implications Air India has been touting improved safety culture since rejoining the Tata Group in 2022, hiring expatriate trainers and modernising its operations-control centre. Aviation analysts caution, however, that unprecedented fleet growth can stretch engineering oversight and pilot training pipelines. “The challenge is scaling safely,” says former DGCA director Kapil Kaul. “This accident will intensify scrutiny on how quickly Air India can expand while embedding world-class safety management.” Passengers booked on Air India over the next week are advised to monitor flight-status pages and allow extra time at airports as schedule disruptions ripple through the network. Travel-insurance providers have activated emergency-assistance hotlines, and major UK tour operators report a surge in re-routing requests via Gulf carriers. While causes remain unconfirmed, today’s tragedy underscores persistent industry concerns—from high summer density altitude to stringent take-off performance margins at fast-growing secondary hubs like Ahmedabad. As investigators sift through wreckage and data logs, families worldwide await clarity—and India’s flag carrier faces its toughest test since returning to private hands.