One of the largest Indian e-commerce giant platform Flipkart has invested ₹451 crores which is roughly $65.8 million in US currency in its digital payments platform PhonePe according to a report. This investment is a part of the $500 million commitment which is announced by Flipkart last year in the month of December.
This investment takes the total investment which is made by Flipkart in PhonePe to $184.1 million. Just before this PhonePe had also received $79.6 million in this year in March and $38.7 million in August 2017.
The investment comes soon after PhonePe has claimed that they had done payments more than Paytm in UPI transactions with 40% market share in July 2018. This investment will help PhonePe to take up its efforts to tackle Paytm, as it looks to expand in both the domain whether it will be offline or online.
In the month of July, PhonePe had acquired Zopper Retail, in order to strengthen its offline presence. Zopper Retail provides a hyperlocal PoS platform that will help and enable the PhonePe to connect with millions of merchants with the help of using it platform.
In the year 2017 November, PhonePe had launched its own PoS device targeted towards small merchants which also includes the kirana store, petrol pumps, restaurants chains, among others.
As PhonePe looks to strengthen its presence, its Softbank which is backed rival Paytm is also strengthening its online financial services game, as it recently acquired smart-savings management startup Balance Technology to help its users to achieve their both the investment and financial goals.
Paytm last month has also took its enter into the overseas market as it partners with Softbank to help it launch its digital payments platform in Japan.
While Paytm is still a market leader in its domain, Flipkart is flush with cash after its $16 billion acquisition by one of the largest retail store Walmart, it is already boosting its efforts in PhonePe to help it expand.
