Austrian Air Services was founded on 4 February 1980, with the first revenue flight on 1 April of that year.

The company originally was owned by Austrian Airlines (26 percent) and the airport authorities of the five largest airports of the country (see below) to 14.8 percent each,[2] but later became a wholly owned subsidiary of Austrian Airlines.

[3] Austrian Air Services operated scheduled flights to the following domestic destinations:[1][2] The initial fleet of Austrian Air Services consisted of two Fairchild Swearingen Metroliner aircraft.

When the airline was disestablished in 1994, its then eight aircraft of that type were acquired by Tyrolean Airways.

[3] On 17 September 1984, an Austrian Air Services Fairchild Swearingen Metroliner (registered OE-LSA) was damaged beyond repair in a belly landing at Vienna International Airport, following the failure to deploy the landing gear.