In 1947, at an AFROTC field training camp, cadets from the University of Cincinnati discussed and presented the idea of an honorary society to Lt Col James F. Pierce, Major Victor J. Sampson, and Captain James I. Nolkamper. In October 1947, a cadet committee was formed to write a constitution and choose a name for their newly founded society. The name they chose was "Arnold Society of Air Cadets," in honor of General Henry H. Arnold. In December 1947, Gen Arnold granted permission to use his name for the proposed Society.

The Arnold Society of Air Cadets grew very quickly from its inception in the summer of 1947. High morals, physical fitness, and positive mental attitude formed the foundation of the Society. These characteristics were the basis for the Society's efforts to mold young cadets into future Air Force leaders.

The United States Air Force officially recognized the Society on 6 April 1948, and the Air Defense Command sent out copies of the Society's constitution to all colleges and universities throughout the nation in the hopes of forming similar organizations. Within the next year, twenty new squadrons had been formed.

The death of the Society's first National Honorary Commander, General H. H. Arnold, marred the beginning years of the Society. General James Doolittle was unanimously chosen as his successor.

National Conclaves were one of the many new ideas that came about in the early 1950s. The first NATCON was held at the University of Cincinnati in 1950. This conclave was held to determine the policies of the Society. Mrs. Eleanor Arnold was named the Honorary Sponsor. This same year, the organization officially became known as the "Arnold Air Society." During the second NATCON, AAS became affiliated with the Air Force Association. At the fourth and fifth NATCON's, a reconstruction of organizational structure of AAS was proposed. This resulted in the formation of the Executive Board, consisting of AAS national and area leadership. At following conclaves, more awards and policies were initiated, such as Angel flight in 1952, and the Arnold Air Society-Link Foundation Fellowship Awards for graduate work.