Paytm: Demonetization & AI Ambitions, Says Sharma

Mumbai, Oct 7 (PTI) Paytm founder and Chief Executive Vijay Shekhar Sharma on Tuesday said that the fintech did not inspire the demonetization decision in 2016, and added that if it had such heft, it would not be suffering the way it is today.

Speaking at the annual Global Fintech Fest here, Sharma also spoke strongly in support of sovereignty in the artificial intelligence arena and added that he is starting AI-focused offerings now.

While explaining the company's roots in the payments business and the journey till now, Sharma made the remarks about the government's demonetization decision, when high-value notes ceased to be legal tender overnight, giving a thrust to the digital payments alternatives.

"In November 2016, when something happened (demonetization), people felt we inspired it. But, if we had such heft (aukaat), then we wouldn't be suffering the way we are today," Sharma said.

In the last few years, Paytm has been under the regulatory glare, including facing action from both the Reserve Bank and also the capital markets regulator Sebi, for a variety of alleged lapses.

When asked about what is next for him, Sharma spoke about AI ambitions, tying it up with what should be the country's aspirations.

Sharma said Paytm as a brand is associated with payments technologies and financial services, and hence, he will be adopting a newer brand identity for the AI services.

Without specifying the exact services which he has in mind, Sharma said he is "uncomforted" by the lack of work on AI in India.

"For India, the sovereignty of AI is equal to virginity in a way. India should not give in to the sovereignty of AI to the foreign world at all. It is my belief that we as a country are capable and will build it," he said.

The country has relied on operating systems made in the US throughout its technological evolution, he said, pointing to its reliance on American platforms for running computers, cloud networks, and mobile phones.

Admiring the work done by China, he said the country's northern neighbour has built their own rockets, and also said that a mobile phone company built its own operating system when a US company disallowed it from using its wares.

Meanwhile, in an earlier session at the same event, Sharma also stressed on startup founders exercising their control over initial public offer pricing and not depending on any external stakeholders on the same.