Mastercard signed a small business deal with HDFC Bank, India's largest private bank, which could put three million more of its cards in circulation.
Mastercard has widened its work with HDFC Bank, the largest private bank in India. CEO Michael Miebach said the two signed a deal focused on small businesses. It could lead to as many as three million more Mastercard cards.
Miebach shared the news on an earnings call. The deal was signed in the third quarter and lets Mastercard sell services to the bank. A spokesperson said the company has worked with HDFC since 2005. Rival Visa also has a tie to the bank. HDFC has about 10,000 branches and 100 million customers.
India's government built UPI, a national payment system meant to bring more people into the financial system. Miebach called it both a challenge and an opportunity. He expects people who start with UPI to move on to debit and, later, credit. News reports since August say UPI may start charging merchants a fee.
The material does not say when any new cards would reach businesses. It also does not confirm whether UPI will charge merchants. For now, that fee is only a report. Outside the U.S., Mastercard handles about 70% of its payment volume, which is why markets like India matter to it.
Mastercard is competing for India's small businesses while a government payment system reshapes the market, and any UPI merchant fee is still only reported.
A former Nvidia product manager has started Udu Technologies to let African startups and institutions rent AI computing power instead of buying it.
Read more: Ex-Nvidia engineer starts company to bring AI computing power to AfricaGenRobot AI raised $100 million to record how people work, so robot makers can use those recordings to teach machines home, factory and warehouse tasks.
Read more: Beijing startup raises $100 million to teach robots by watching peopleRecruiters say AI now handles much of the screening work, so employers may start asking what a fee of a share of a new hire's salary actually pays for.
Read more: AI is speeding up hiring and putting recruiter fees under pressure
