Tata UPI App: Before launching a third-party payments service provider, the corporation is seeking approval from the National Payments Corporation of India (NPCI). Top digital payment apps like Google Pay, Phonepe, and Paytm may soon be competing with the Tata Group. According to a research, the Tata Group, one of India’s major conglomerates, has been a market leader in a number of areas ranging from salt to steel.
According to the report, the company is also seeking authorization from the National Payments Corporation of India (NPCI) before launching a third-party payments service provider. The platform will leverage the Unified Payments Interface (UPI) for transactions.
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Tata Digital, the Tata Group’s digital commerce unit, will be in charge of the UPI App. It’s also in talks with ICICI Bank to power its UPI system, according to reports. Non-banking platforms must connect with a bank to make their UPI facility functional for the uninitiated.
If a UPI App’s transaction volume is huge, the companies partner with many banks to spread the transactions. According to the report, Google Pay has partnered with SBI, HDFC, and ICICI banks to share its large transaction volume. The majority of UPI transactions in India are processed through Google Pay or PhonePe. Other payment apps, such as Paytm, Amazon Pay, and WhatsApp Pay, have a smaller market share. With the Tata Group arriving into the field, the dynamics might switch soon.
Tata Digital was established in the year 2019. It is part of Tata Sons and has several subsidiaries. Bigbasket and 1MG Technologies Private Limited are among the companies on the list. In January, Tata Group also launched Tata Fintech, a financial marketplace for financial products.
What is Tata Digital?
Tata Digital, a digital subsidiary of Tata Sons, is on an acquisition spree. The company is not only acquiring the startups, but it is also welcoming its workforce to join the digital journey with Tata. For example, a recent acquisition of Cult.Fit was more important for Tata Digital due to its founder Mukesh Bansal collaboration with Tata.
