NextBillion - An Initiative of the William Davidson Institute at the University of Michigan

Thursday, October 19, 2017

Apple’s plan to introduce its Apple Pay services in India is set to heat up the race to dominate the nation’s booming mobile payments market that has already lured Google, Amazon and Facebook’s WhatsApp.

India’s mobile phone payments market is riding on the wave of surging internet usage as more people get online to buy books, mobile phones, accessories, and apparels. According to a Boston Consultancy Group report, the country’s digital payments industry will be worth about $500 billion by 2020.

The growth of internet usage surged after billionaire Mukesh Ambani rolled out his wireless venture in September last year, offering virtually free services to initial subscribers and stirring a price war among telecom operators. Prices for high-speed internet data have crashed as carriers cut rates to compete with Ambani’s Reliance Jio Infocomm.

Photo courtesy of Ava Systems.