PhonePe plans to end all third-party relationships and integrations with payment aggregators, including SoftBank-backed Juspay

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According to media reports, PhonePe has updated its payment options to include direct interfaces for merchants

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The company plans to develop a "direct and end-to-end" relationship with merchants, reducing reliance on third intermediaries like Juspay

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Discontinuing cooperation allows PhonePe to hold the complete value chain, from transaction origination to ultimate payment

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According to the report, Juspay processes almost 15% of PhonePe's payment gateway volume, potentially impacting Juspay's operations directly

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Phonepe plans to provide a full-stack payments service to improve merchant success rates

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In the letter, PhonePe stated that numerous third-party players have become payment aggregators, creating a "conflict of interest"

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The development coincides with the rapid expansion of fintech firms, causing overlap with previous clients

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The RBI has granted payment aggregator licenses to a growing number of players, contributing to this trend

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At the center of it all is India's burgeoning fintech business, which is expected to be worth $2.1 trillion by 2030

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