This is one of 10 AI products being created by International Airline Group's in-house AI development team and the first glimpse into the company's revitalised innovation strategy.

IAGi Ventures

Photo credit: Gagliardi Photography

International Airlines Group (IAG), the owner of British Airways, announced a new AI-powered tool for optimising engine maintenance which it has built in-house as part of a recently-revamped innovation strategy. The tool is one of ten new AI products that the airline group is planning to roll out over the next 18 months.

It is the first glimpse into a revitalised innovation strategy that has been rolled out at IAG.

The Engine Optimisation System (EOS) uses an AI algorithm to recommend a schedule for maintenance teams which is designed to be the most efficient. The company claims the machine considers millions of possible scenarios based on data points such as parts and personnel available, and regulatory requirements.

A 2024 McKinsey report found that aircraft maintenance was becoming more costly for airlines as aging fleets caused by an aircraft shortage and a maintenance backlog from the pandemic pushed up demand just as the workforce began to shrink.

The EOS is currently in use on IAG’s Aer Lingus airline. The company plans to have it rolled out on its other airlines by the end of the year.

The system was announced at a press briefing hosted on Thursday by Nacho Tovar, the head of IAGi Ventures, the airline group’s venture investment unit. The work of the AI team is considered a complement to the broader innovation strategy followed by IAGi Ventures and the company’s startup accelerator programme, which puts a large focus on AI and automation solutions.

IAGi Ventures recently announced a €200m fund, with a target to invest €40m each year for the next five years.

Ben Dias, IAG’s chief AI scientist, who is leading the deployment of AI across IAG’s businesses, said that the Engine Optimisation System will make maintenance “more efficient.”

“We are avoiding unnecessary maintenance delays to ensure that our fleet is available and in service.”

Dias said that the team has to work on projects “for scale,” meaning those which can be deployed across all of IAG’s five airlines. They also have to be workable products, beyond the proof of concept stage.

IAG’s AI team is made up of 70 AI specialists split between London and Barcelona. The unit partners with universities and works with IAG’s corporate venturing arm, IAGi Ventures and its accelerator.

Stephen Hurford

Stephen Hurford is a junior reporter for Global Corporate Venturing.