Payment Apps Lobby NPCI to Limit PhonePe and Google Pay

Executives from Amazon Pay, WhatsApp, CRED, MobiKwik, and Flipkart's Super.money are meeting with the National Payments Corporation of India to challenge the market dominance of PhonePe and Google Pay. Together, those two providers control approximately 80% of the Unified Payments Interface network, which processed 22.6 billion transactions in March.

The lobbying group is proposing strict restrictions on user acquisition practices and the use of contact data to prevent the largest players from leveraging their scale to block competitors. They are demanding fair, non-discriminatory access to critical technical features, including payment mandates and autopay capabilities. Additionally, the group is seeking specific regulatory incentives designed to lower the barrier to entry for emerging players in the digital payments ecosystem.

This coordinated action follows a decision by the Indian government to defer a 30% market share cap for UPI apps until December 31, 2026. The challengers argue that this deferral has effectively frozen the market, allowing PhonePe and Google Pay to further entrench their positions while smaller apps struggle to gain traction.

While the National Payments Corporation of India has not issued a formal response to these specific demands, the lobbying effort underscores growing tension between the established giants and a coalition of tech-heavy firms seeking to disrupt the current UPI landscape. The outcome of these meetings may determine whether the regulator implements interim measures before the 2026 cap deadline.