Earlier in the week, Paytm officially announced that it has partnered with Alibaba to start its cloud business in India.
According to the announcement made by Paytm, it says that The Indian digital payments firm, in which Alibaba holds significant investments, has licensed the Chinese e-commerce giant’s technology for cloud infrastructure.
This, in turn, will offer AI tools to start-ups, developers, campaign management, enterprises with CRM and payment solutions.
Although Paytm is all set to license Alibaba’s technology, the company did add that the data will stay within the confines of the country.
This move by Paytm had to be taken as the Reserve Bank of India (RBI) has requested all payments companies to store their data locally.
Paytm has announced that it is in favor of the RBI’s regulation.
According to Paytm, for the initial phase, it would be investing nearly Rs 250 crore.