WhatsApp accused of misusing its supremacy for payment service, CCI investigating the case
Facebook-owned WhatsApp has been accused of misusing its prime location by offering payment services through its messaging app. The Competition Commission of India (CCI) is investigating the matter. The case is based on a complaint filed in mid-March.
What is complaint?
According to a Reuters report, he is accused of using the soon-to-be-launched WhatsApp payment service to misuse the dominance in his digital space. So that he can set his foot in the field of digital payment. According to the report, the complainant in the case is a lawyer, whose identity has not yet been revealed.
CCI, the officer reviewing the case, may order its investigation branch to conduct a comprehensive investigation into the allegations, or to extrapolate the case if no truth is found in it. The matter is currently in a preliminary stage. Senior members of the CCI are reviewing it.
Payment service may be in trouble
If the commission finds WhatsApp wrong, then WhatsApp may be in trouble over the payment service. The company has made all preparations for the payment service. WhatsApp has about 400 million users in India, more than any other country in the world.
Testing started in 2018
Facebook instant messaging app WhatsApp can launch its WhatsApp Pay service in India by the end of May. Three private banks, ICICI Bank, HDFC Bank and Axis Bank have joined hands for the payment service. In 2018, WhatsApp started testing its WhatsApp Pay feature in association with ICICI Bank.
Payment service will be launched in a phased manner
According to the company, WhatsApp’s payment service will offer digital payments based on Unified Payments Interface (UPI), but will be launched in a phased manner. According to an estimate, there are currently over 100 million UPI subscribers in India.
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10.8 billion transactions from UPI in 2019
18,36,000 crore transactions have been done in 2019 through 10.8 billion transactions from UPI, which is 214% higher than the year 2018. In the year 2019, 9 banks are associated with UPI ecosystem. With this, the number of banks providing UPI service has increased to 143 by the end of December 2019.
