Cashfree and Razorpay will End Collaboration with Juspay
Payment aggregators Razorpay and Cashfree also intend to end all third-party collaborations and integrations with payment orchestration systems like Juspay in response to PhonePe's lawsuit. Cashfree intends to stop using third-party routers and orchestrators for integrations. According to a statement from a Cashfree Payments representative, the brand can expedite feature release and provide better support and merchant experience by providing direct integration. According to a statement from Razorpay, it will stop integrating with any third-party payment orchestration systems and instead provide its clients with payment gateway services via direct integrations. Razorpay will halt all integrations via third-party routing services going ahead. Through its own direct integrations, the business will provide payment gateway services to our clients. According to a Razorpay representative, the company feels that direct integrations are the only way to guarantee that its most recent innovations quickly reach its clients and improve their operations and experiences.
Pine Lab Continuing with the Collaborations
Pine Labs, a provider of digital payment solutions, seems to have remained loyal to Juspay and stated that it will keep collaborating with other orchestration service providers. Collaboration and open architecture are crucial in the technology industry. Amrish Rau, the founder and CEO of Pine Labs, told a media outlet that the company will keep promoting this and that its online platform will keep collaborating with other orchestration platforms to give customers and merchants the greatest possible experience. Online retailers may handle several bank agreements using a single payment gateway thanks to payment orchestration solutions. In short, based on their greater success rate at the moment, these systems enable a merchant to route transactions to the appropriate payment aggregator. Sheetal Lalwani, the chief operating officer (COO) and cofounder of Juspay, informed a well-known media site that the two platforms' exit will not affect the company's operations. He claimed that merchants are the source of the company's income and that some payment aggregators are depriving their clients of options.
The construction of a full-stack payment system by Juspay to handle payments for the Open Credit Enablement Network (OCEN) and other commercial payment use cases was covered by a media outlet on December 14, 2023. Sheetal Lalwani, a co-founder of Juspay, had previously stated that he would not go up against other payment aggregators directly.
Why Payment Aggregators Are Shifting Business Operations?
A month prior, the digital payments juggernaut PhonePe allegedly ended all third-party integrations and agreements with payment aggregators, including Juspay. The move, according to PhonePe at the time, would allow it to control the whole value chain and reduce reliance on external parties. Although they are still in the early phases, Razorpay and Cashfree have also developed their own orchestration platforms, Optimiser and FlowWise, respectively. Vimal Kumar and Ramanathan RV founded Juspay in 2012, and Lalwani joined them later. Juspay is a technological platform that integrates payment gateways to give merchants an enterprise-grade, end-to-end, secure, and dependable payment stack.
Nitin Konde
