PARIS, France: Air France is making a bold bet on luxury travel with the launch of an upgraded first-class suite, aiming to attract high-spending passengers who might otherwise choose private jets.

This week, the airline unveiled its redesigned first-class cabin, reinforcing its position in the premium travel market as competition among European carriers heats up. The parent company Air France-KLM's CEO Ben Smith said the investment aims to position Air France as the leader in luxury airlines across Europe, competing with British Airways and Lufthansa.

"A large percentage of the customers are flying for business reasons... Many of them have the choice of a private jet or flying in first class," Smith told Reuters.

"What is new for us over the last few years is a marked increase in the number of luxury customers that are flying for leisure purposes."

While many airlines have focused on enhancing business-class seats rather than first-class, Air France is doubling down on exclusivity. Its new first-class layout features spacious suites with beds and seats arranged in pairs, designed to cater to high-end travelers. The airline has been working to turn its first-class offering into a profitable venture since Smith took over in 2018.

For Air France, the French brand itself is a key selling point.

"A lot of people like to experience France. When they get on the airplane outside France, they want to start their journey from San Francisco, Tokyo, or Sao Paulo, which is already in France, through the environment on the airplane," Smith said.

The rollout follows British Airways' recent first-class redesign and Lufthansa's continued focus on premium service. Neither airline responded to requests for comment.

Air France has not disclosed the cost of the investment, but the airline says its first-class service is already profitable, partly due to rising ticket prices. According to the airline's website, a one-way ticket from Paris to New York in May costs around 10,000 euros.

The launch was staged in a Paris Fashion Week venue, complete with Michelin-starred cuisine and influencers, reinforcing the airline's alignment with French luxury.

However, industry experts caution that first-class services are costly to maintain. The challenge lies not just in the premium seats but in exclusive ground services like private check-ins and limousines. Maintaining a fleet tailored for a handful of first-class routes also adds complexity.

"Unless it's rock solid, it can be quite marginal because of the operational complexity, the capital investment, and the risk of substituting seats that they could be sure of selling in business class," said aviation consultant John Strickland.