Everyone seems to be capitalising on the after effect of the gaffe made by the Indian government last year. If it isn’t clear, the gaffe in question is demonetisation, where the Indian government banned the 1000 and 500 rupee notes, forcing a large chunk of the country’s population to steer away towards digital payments. As a result of this preference for digitised payments, Paytm, the most popular online payments app soared to new heights of popularity and recorded massive profits which allowed its owner to buy an expensive house, while the rest of the profits went to Alibaba, the Chinese company that owns the larger part of Paytm.
Looking to enter this profitable playing field and make a cut of the massive profits themselves, Google has launched their own payment app in India, named Tez (Hindi for fast). Tez, a United Payments Interface (UPI)-based digital app, goes a step beyond Android Pay, by allowing users to link payment apps from Indian banks. Tez also allows bank-to-bank payments and is comfortably protected by Tez Shield, Google’s own data security platform with the ability to detect fraud and protect user identity. Conveniently, Tez has a contact list that will give transaction history organised, somewhat like a chat app. According to Google, the app also allows small businesses to accept payments directly into their bank accounts.
“Send money home to your family, split a dinner bill with friends, or pay the neighbourhood chaiwala. Make all payments big or small, directly from your bank account with Tez, Google’s new digital payment app for India,” is Google’s official statement regarding their newest venture on its information portal.
But what makes Tez special, particularly in India, is that it uses Audio QR. This basically means that the app does not use user payment information but instead transfers money based on sounds. Twi devices can pair using these ultrasonic sounds, eliminating the need for payee and payer personal information. This will also make the process more rapid and frictionless and also bypasses the need for an NFC chip, since phones with NFC are still relatively rare and expensive.
The app will be available on both Android and iOS and Google is planning to release it in other emerging countries.