The Indian Cabinet is expected to approve this week an order of two Phalcon AWACs from Elta, a subsidiary of IAI, according to reports in the Indian media that were quoted by Israel's Calcalist newspaper. The cost of the giant deal: about $1 billion. The planes are expected to join the three that were acquired from Israel in 2004.
According to the report, a deal for the purchase of planes has been in the works for the past few years, but an incident between India and Pakistan about six months ago in which the Indian Air Force found itself in a position of inferiority led to the speeding up of the acquisition process. Also, Calcalist noted the deterioration in relations between India and China that has three similar early-warning planes.