Singeetam Srinivasa Rao came up with an idea based on Kandahar hijack in 1998. Usha Kiron movies Oked the film. Nagarjuna and Raveena Tandon made the hottest pair. They interweaved an adventurous love story, child sentiment and friendship to the story.

The movie took two and odd years to make. When it was released, everybody has no expectations. Even then, it failed to enthuse the crowds who saw the film with zero expectations. Akasa Veedhilo is arguably the costliest movie made by Usha Kiron movies so far. They spent to the tune of 6 crores on this film. According to the trade analysts, the film could not recover even 25% of the investment.

It was also rumored that Singeetam Srinivas lost interest in the project in the midway and then Late RR Shinde completed the venture for Nag.