Indians are crazy about gold? Tech giants also take aim at India's payments industry : Four Square Payments India

Google recently launched its mobile payments app Tez in India. the app has been customised for the Indian market, taking into account the unique characteristics and pain points of the country's mobile payments space.

The mobile payments market in India has experienced rapid growth over the past two years, attracting global giants vying to enter this blue ocean. big players such as Facebook, Alibaba and Softbank have already entered the Indian market.

Google plants its flag in the Indian mobile payments market.

Information shared at the time of the product launch showed that Tez is compatible with both iOS and Android. brands such as Lava, Micromax and XOLO are expected to pre-install the Tez app in the next few months. tez follows the Unified Payments Interface (UPI) standard that was introduced in India last year, a system designed to encourage digital payments. Tez follows the Unified Payments Interface (UPI) standard, a system introduced in India last year to encourage digital payments. While not all Indian wallets currently support UPI, the government this year launched UPI-based mobile wallet BHIM and a national payment QR code.

Tez has also introduced a feature similar to Alipay's "Sonic Payments" called CashMode, which allows strangers to verify payments using inaudible sound waves, ensuring privacy as no phone numbers, bank account details or names are displayed. After Paytm's attempt to use the app for credit card payments failed due to privacy concerns, Google took into account user privacy and account security.

Interestingly, Tez is different from other third-party mobile wallets like Paytm and Mobikwik. It does not require the user to deposit money in the app; all transfers or payments are directly debited from the user's bank account, similar to Apple Pay and Android Pay.This is in line with the habits of Indians, who usually feel insecure about technology and believe that only money deposited in a bank is safe.

Google says: "There are no fees for using Tez, and your money will stay in the bank, allowing you to continue earning interest. And, because Tez is directly linked to your bank account, there's no need to add a wallet balance or pay cash-out fees."

Google also revealed plans to partner extensively with local merchants and attract users through subsidies. For merchants, Tez has already partnered with 55 banks participating in the UPI standard, including some of India's largest banks. Other partners include Domino's Pizza, Jet Airways, RedBus and PVR Cinemas, India's largest cinema line.

On the user subsidy front, if a user recommends the Tez app to a friend, both will receive a cash bonus of Rs 51 into their bank account. Additionally, for every transaction of Rs 50 or more, users will get a chance to win scratch cards worth up to Rs 1,000, up to a maximum of 10 per week, with an annual cumulative prize of up to Rs 9,000.

The Indian mobile payments market is witnessing a fierce battle.

Smartphones have become an integral part of many Indians' lives. With 300 million smartphone users in India, people are used to chatting, reading news and listening to music on their mobile phones. However, Google executives at the product launch event noted that Indians are yet to get used to mobile payments and still prefer cash when it comes to money.

The Indian government's move to demonetise large sums of money last year is seen as a catalyst for the growth of mobile payments in the country. Indians are gradually starting to accept mobile payments. According to a report by PricewaterhouseCoopers, the Indian mobile payments market was valued at $50bn in 2016 and is expected to reach $500bn by 2020, leaving plenty of room for growth for all players.

Last year, Google CEO Sundar Pichai described India as a great testing ground for internet companies. India has a large population and most people's first contact with the Internet is through their smartphones, which is helpful for Internet companies to collect data on their products. In addition, the Indian market is relatively free, allowing startups to develop features and services based on real-world needs.

Google's entry into the Indian market will face stiff competition from existing players such as Paytm, Freecharge, Mobikwik and Facebook payment app Whatsapp, as well as many local Indian wallets.

Paytm, touted as India's Alipay, is backed by SoftBank and Alibaba, and currently has 200 million registered users in India.Alibaba invested $500 million in Paytm in September 2015, and SoftBank pumped in $1.4 billion in May this year.

Earlier it was reported that Freecharge and Mobikwik were discussing a merger, but no final agreement has been reached yet. Currently, Mobikwik is ranked second in India in terms of users while Freecharge is ranked third.

Facebook's payment app Whatsapp has 200 million active users in India and is one of the most popular instant messaging apps in the country. With Facebook's 1.2 billion global user base, Whatsapp recently announced plans to launch a UPI-based e-wallet service.

Apart from these active foreign players, Indian telecom service provider Reliance Jio and banks like HDFC and ICICI have also developed their own e-wallets. After becoming India's first payments bank to adopt UPI, Airtel Payments Bank plans to use the UPI platform to expand its business by facilitating online and offline payments, improving the security of e-payments, and enhancing the ability to transfer money between different bank accounts in real time.Airtel Payments Bank currently has around 20 million customers.