NEW DELHI: The US tech company Google has removed the payments app Paytm from its Android store over violations of its gambling policy by the Indian fintech unicorn, which is backed by SoftBank, Alibaba and Berkshire Hathaway among others.
On Friday, Google said in a blog post, “We don’t permit online casinos or support any unregulated gambling apps that facilitate sports betting.” Meanwhile, a Paytm spokesman also confirmed the move and said Google had removed its app.
Dear Paytm'ers,
Paytm Android app is temporarily unavailable on Google's Play Store for new downloads or updates. It will be back very soon.
All your money is completely safe, and you can continue to enjoy your Paytm app as normal.
— Paytm (@Paytm) September 18, 2020
Alphabet Inc’s Google further said, “This includes if an app leads customers to an external website that permits them to participate in paid tournaments to win real money or cash prizes. It is a violation of our policies,” it added.
However, the blog post did not name Paytm, but Google separately confirmed the removal for policy violations.
Initiated a decade ago as a platform for mobile recharging, Paytm grew quickly after ride-hailing firm Uber listed it as a quick payment option.
Its use swelled further in 2016 when India banned certain high-value currency notes, causing an immense shortage of currency in the economy for months.
It currently competes with worldwide players such as Google Pay and Walmart’s PhonePe in India’s digital payments market which is set to more than double in value to $135 billion by 2023 from 2019, according to PwC and Indian lobby group ASSOCHAM.
The company had not breached Google policies but was running an offer that gave its users stickers, for payments and money transfers, which could then be used to redeem cashback – a move Google deemed as gambling, the Paytm spokesman told Reuters.
Paytm has since removed the promotion from its app, he added. Google did not immediately respond to a request seeking comment on how Paytm’s cashback offer violated its policies.
On a Twitter post, Paytm said it was working with Google to restore the Andriod app and assured users that their money was safe.
????????????????????????: We continue to work with Google to restore our Android app. We assure all our users that their balances & linked accounts are 100% safe.
Our services are fully functional on all existing apps and you can continue enjoying Paytm like before.https://t.co/Klb63HRr0V
— Paytm (@Paytm) September 18, 2020
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