Work began on the IAR 80 prototype in late 1937. Test flights of the prototype were impressive; the aircraft could reach 510 km/h at
4,000 m, service ceiling of 11,000 m with the ability to climb to 5,000 m in 6 minutes, which was respectable at the time.
The updated prototype was tested competitively against the more modern Heinkel He 112. However Romania ordered 100 IAR 80s in December 1939 and another 100 IAR 80s in August 1940. Further orders for batches of 50 IAR 80s followed on 5 September 1941 and 11 April 1942, then another 100 on 28 May 1942, to be followed by 35 of the IAR 81C development in February 1943, with a further 15 in January 1944.