According to people familiar with the matter, after reviewing technology bids from seven Indian companies, Tata Advanced Systems Limited, Larsen & Toubro, Bharat Forge — was shortlisted, while the remaining companies, including state-run Hindustan Aeronautics Limited (HAL), were eliminated from the race.
The final winner will be selected within three months after shortlisted companies submit detailed commercial proposals to build prototypes of next-generation jets.
All major Indian manufacturers bid for this mega contract, with the shortlist determined based on technical expertise, manufacturing capabilities, order availability and financial strength.
Bidders needed to demonstrate that they had the technical ability to assimilate the AMCA design and had sufficient experience in development, engineering, manufacturing, equipment, and testing. One of the provisions was also a disincentive for companies with large outstanding order backlogs.
As planned, the winners of the competition will work with the Aviation Development Authority (ADA) to build five AMCA prototypes. The ministry has allocated a budget of Rs 15,000 crore for the prototype phase. However, the final order is expected to be several times that amount once the aircraft is certified and ordered by the Air Force.
This is probably the largest military research and development program in India’s history. The new fifth-generation fighter jet is expected to become India’s flagship aircraft from the mid-2030s. Once developed, a first batch of 120 fighter jets will be ordered, with deliveries expected to begin by 2035. That number is expected to increase significantly in the coming years as more advanced variants are developed.
The new jet will be equipped with the latest military technology, including stealth capabilities, artificial intelligence (AI) integration, long-range targeting capabilities, and the ability to co-operate with unmanned systems.