Paytm to Sell In-House AI Tools to Business Clients

Indian fintech giant Paytm is set to expand its business by selling artificial intelligence software and tools to enterprise clients. The company, which already possesses an extensive network of merchants and businesses, intends to offer its in-house developed AI solutions to these same customers.

This strategy signifies Paytm's ambition to establish a new growth engine within the AI sector. Founder and CEO Vijay Shekhar Sharma confirmed these plans during the company's first-quarter earnings call, noting that Paytm has already utilized its AI solutions for internal purposes such as automating merchant onboarding and fraud detection.

Paytm's parent company, One97 Communications, reported a 79% year-on-year increase in net profit to ₹220 crore for the June quarter. Revenue grew by 28% to ₹2,448 crore. The company also achieved full-year profitability for the first time in FY26.

The AI initiatives are built upon tools the company previously developed, including Paytm ARMS (merchant lifecycle insights) and Paytm Pi (fraud detection platform). These tools have proven effective in internal use, and Paytm believes their commercialization will unlock new business opportunities in the enterprise market.

Paytm will focus on business needs rather than developing consumer AI products. The aim is to offer scalable solutions for small and medium-sized enterprises, as well as large corporate clients.