Seems like more of a tighter competition between IndiGo and Air India. Their focus will primarily be based on cheaper fares and therefore aiming for every single flight to be full.
Air India's service would then become a more premium alternative as opposed to IndiGo's objective of just getting as many pax as possible transported to and from India. There is an article out there from 100knots.com where they explain IndiGo's LHR slot acquisition.