Jio Payments testing Paytm-like soundbox product for merchants: Report

Jio Payments has plans to expand its services by introducing a new merchant payment solution known as the Jio Soundbox, according to a report by The Hindu Business Line. The device, designed to verify payments through audio alerts, mirrors similar offerings from competitors like Paytm, PhonePe, and BharatPe. The development of the Jio Soundbox marks a significant step for Jio Payments as it aims to broaden its array of payment solutions, which already includes a payment gateway, point-of-sale devices, a Unified Payments Interface (UPI) platform, and a biller platform.

The report suggests that the introduction of the Jio Soundbox comes after testing through two pilot projects conducted in tier-2 and smaller metro cities, including Jaipur, Indore, and Lucknow. Assuming that these trials have been successful, the device has been spotted in Jio's retail outlets across some tier-1 and metro cities as well. The Soundbox may also function as a point-of-sale unit by incorporating a merchant's QR code. The new soundbox by Jio Payments is anticipated to launch by the end of 2024.

The business model for the Jio Soundbox is projected to align with those of its competitors, involving an initial purchase fee followed by monthly subscription charges. Although specific pricing details for the Jio Soundbox have yet to be disclosed, it's anticipated that they will be competitive with existing products in the market. The pricing of PhonePe soundbox starts at Rs 50 and the company also charges a monthly subscription charge of Rs 50. 

When you purchase the device, an initial fee is applied, and it comes with a set monthly charge for its services. Additionally, these soundboxes can serve as point-of-sale (POS) devices for transactions that use QR codes, making them a valuable revenue stream for fintech companies.