International Airlines Group, the owner of British Airways, has pledged to invest up to €200m into tech startups shaping the future of aviation.
The organisation – registered in Madrid, Spain with corporate headquarters in London – also counts Aer Lingus, Iberia, LEVEL and Vueling among its airline brands.
It said IAGi Ventures, its new corporate venturing arm, will back firms at the cutting edge of customer experience, operations and sustainability.
IAG will target early-stage investments, with the flexibility to explore earlier and later-stage opportunities, in companies across all global markets.
“Adopting new technologies will improve our business and the value we generate, which is why we are seeking to work with and learn from top innovators through venturing,” said Jorge Saco, IAG’s chief information, procurement, services and innovation officer.
“By launching venturing, alongside our accelerator programme, we plan to work with the best start-ups and scale-ups tackling today’s challenges.”
IAG has invested in technology-focused startups and scaleups since 2017, with notable successes including Assaia, a company that specialises in optimising airport and airline operations using AI, i6, UK-based innovators using digital fuel management solutions to reduce operating costs and CO2 emissions and LanzaJet, who are developing cost-effective sustainable aviation fuel for commercial use in the UK.
‘Like LEGO’: Could UK sports watch challenge Apple & Garmin?
IAGi Ventures will run in partnership with IAG’s accelerator programme which has been running since 2016. The Hangar51 accelerator programme will now be known as IAGi Accelerator, with applications for this year’s scheme launching later this month.
During the programme, companies design and run a proof of value to assess the potential of their solutions and work with experts across the group to test their technology under operational conditions.