PhonePe to Launch UPI Payments App for Feature Phones With P2P Transfers, Offline QR Payments

PhonePe has introduced that it’s planning to launch a Unified Payments Interface (UPI) answer for brand new function telephone customers in India. The digital funds and monetary companies firm highlighted that its upcoming cost answer might be constructed on the NPCI’s UPI 123PAY know-how. The service might be constructed on conversational engagement platform Gupshup’s GSPay tech stack, and the corporate plans to supply assist for primary UPI options on function telephones. However, the service stated that it might take a number of quarters earlier than the UPI service is launched within the nation.

PhonePe’s UPI Solution for Feature Phones Is Built on GSPay

In a press launch, the corporate introduced that it has bought the mental property (IP) of Gupshup’s proprietary GSPay know-how stack. PhonePe will now customise this platform and construct its UPI answer on prime of it. Notably, Gupshup launched GSPay in 2023 as an SMS-based cost expertise for function telephones.

PhonePe highlighted that GSPay is inbuilt accordance with National Payments Corporation of India’s (NPCI) UPI 123Pay service which was launched in 2022 by then RBI Governor Shaktikanta Das. Now, the corporate plans to construct its UPI answer by extending GSPay’s know-how stack.

UPI 123Pay is a real-time UPI answer that doesn’t require Internet service, designed for function telephones and customers with restricted connectivity. It provides 4 transaction strategies which incorporates calling an interactive voice response (IVR) quantity, app-based service, missed call-based strategy, and a sound-based proximity cost system.

The firm’s UPI answer may even provide a wide-range of options. It will assist person-to-person (P2P) transfers, offline QR code-based funds, and it’ll additionally enable customers to obtain cash from different UPI customers to their cell numbers of self-QR codes. PhonePe acknowledged that this answer is aimed toward creating “full payment interoperability between feature phones and smartphone users’ in India.

Highlighting the scope of the UPI solution, PhonePe quoted industry data, according to which there were 24 crore feature phone users in 2024. Additionally, 15 crore feature phone shipments are also expected in the next five years, the company added. “This segment of users has been historically underserved by the digital financial industry and the broader startup ecosystem,” stated Sameer Nigam, Co-Founder and CEO at PhonePe.