The liberalization of India's economic policies has led to increase in the number of domestic carriers within India, with several low-cost carriers such as SpiceJet, Kingfisher Airlines, Jet Airways and Go Air servicing the city. Air Deccan, with its hub in Bangalore, has the most number of flights into and out of Bangalore. Unlike most airports in the country which are controlled by the Airports Authority of India, the quasi government-owned Hindustan Aeronautics Limited owns and operates Bangalore's HAL Airport, and also uses it to test and develop fighter aircraft for the Indian Air Force. The dual-vested interests in the airport along with an increase in air traffic to Bangalore led to a prolonged tussle for operational ownership between the HAL and the Government of Karnataka.

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