Air India is undergoing a significant transformation by placing a new order for 85 Airbus aircraft and may also acquire additional Boeing jets, following a landmark order for European and U.S. planes last year, according to industry insiders.

The announcement of the Airbus order came during a routine industry update as the national airline mourned the passing of Ratan Tata, the former chairman of its parent company, Tata Group, who was a notable figure in business and aviation.

On Wednesday, Airbus revealed that an undisclosed customer had ordered 75 jets from the A320 family and 10 long-haul A350 aircraft.

Three sources confirmed that Air India was the airline responsible for this order, with two of them indicating that the airline is also in discussions for a possible additional order from Boeing.

Air India has not yet responded to inquiries regarding the Airbus order, which was initially reported by Bloomberg News.

Airbus, which released its routine monthly bulletin shortly before the announcement of Tata's death at the age of 86, refrained from commenting on any ongoing discussions with clients.

Boeing has also not provided a response to requests for comment. 

Ratan Tata succeeded J.R.D. Tata, the founder of Air India, as chairman of the Tata conglomerate in 1991 and held the position for over two decades.

The experienced pilot played a key role in establishing Vistara, a collaboration between Singapore Airlines and AirAsia India. After his retirement, the Tata Group reclaimed ownership of Air India, which had been under public control for nearly 70 years.

Ratan Tata expressed on X in 2021, "Rebuilding Air India will undoubtedly require significant effort, but it is expected to create a robust market opportunity for the Tata Group in the aviation sector."

Currently, Air India is undergoing a multi-billion-dollar transformation aimed at revitalizing its once-renowned brand.

Last year, the airline committed to purchasing 470 aircraft as part of its strategy to regain its former glory under the Tata Group, which regained control in 2022 after many years of public management.

This order, the largest ever placed by a single airline at that time, included 250 aircraft from Airbus and 220 from Boeing, as neither manufacturer could fulfill the entire order alone.

Nipun Aggarwal, the Chief Commercial and Transformation Officer who spearheaded the confidential negotiations in London, later revealed that Air India had also secured an additional 370 options and purchase rights from both Airbus and Boeing beyond the main order.

Air India announced last year that it had options for 70 Boeing aircraft, although it did not provide a detailed breakdown for the Airbus orders.