Ryanair, Europe's biggest budget airline, is talking to Airbus and Boeing about buying 75 to 100 new aircraft, according to industry insiders.

EasyJet, Europe's second-largest low-cost airline, said earlier this month that it was in talks with Boeing and Airbus about buying 75 new jets.

Ryanair's interest in new aircraft is a change to its strategy. Last autumn it placed advertisements in specialist magazines inviting offers for used Boeing 737 aircraft.

Ryanair has not only resumed talks with Boeing, with which negotiations about new aircraft failed last summer, but is also talking to Airbus, whose aircraft have been snubbed by low-cost airlines so far. A recent order for 10 A320 jets by Jetblue, a New York-based no-frills airline, was the first breakthrough for Airbus in the low-cost airline market.

Ryanair is currently using only Boeing planes, most of which are older models built between 1979 and 1982.

Analysts consider Michael O'Leary, Ryanair chief executive, to be in a good position to negotiate a favourable price with aircraft makers. He has already received offers for used aircraft, and aircraft makers have had cancellations from other airlines.

Industry analysts predict orders from budget airlines could make up to almost half of all aircraft orders this year.

Ryanair last decided on new aircraft in 1999, when it placed a $2 billion (€2.26 billion) order with Boeing for up to 45 new Boeing 737-800s. The airline transported 10.24 million passengers last year.