Paytm unveils $12 ‘soundbox’ that takes card payments

Paytm unveils 'Soundbox' device to accept card payments; device costs ₹999 & merchants pay ₹99/month. 8 million buyers already using two soundboxes without card payment capability. 36 million merchants in Paytm network, July 2023 payment volumes ₹1.47 trillion, up 39%. Soundbox 'tap and pay' feature for payments up to ₹5,000. Aim to add more merchants & engage them, cheapest device among available. Stock up 60% from IPO issue price of ₹2,150.

Indian fintech firm Paytm on Monday unveiled a ‘soundbox’ device that lets merchants accept both mobile and card payments across networks including Visa, Mastercard, American Express and homegrown RuPay, to attract more subscribers from its large network.

Soundbox provides instant audio alerts on amounts paid to merchants through an inbuilt speaker.

Paytm, competes with players such as Google Pay and Walmart’s PhonePe in India, where digital payments gained traction after the country banned some high-value currency notes in 2016. Merchants from vegetable vendors to large retail stores now accept digital payments.

The launch of the 999 rupee ($12.08) ‘Card Soundbox’ comes as rival Pine Labs announced a similar device on Monday at “nearly one-third of the cost of a regular Point of Sale terminal”.

Merchants can accept card payments up to ₹5,000 ($60.46) through Paytm soundbox’s ‘tap and pay’ feature.

The focus is to add as many merchants as possible and engage with them, riding the popularity of soundbox, Paytm CEO and founder Vijay Shekhar Sharma told Reuters.

Merchants will pay ₹99 per month to use the device. Paytm has already released two soundboxes without the card payment capability, which have found over 8 million buyers.