PhonePe Launches AI-Powered search built using Microsoft Foundry

National, 20 February 2026: PhonePe today announced the launch of an AI-powered natural language search feature built using Microsoft Foundry. This feature enables PhonePe users to initiate and complete in-app tasks via natural language text or voice commands, enhancing convenience and bringing personalization to the platform’s overall experience.

The feature uses capabilities enabled by Microsoft Foundry to replace traditional navigation with intent-based routing, directly guiding users to their intended destination. For instance, a request such as “Pay Hemanth 20 rupees” automatically launches the payment interface with the recipient pre-selected or displays all relevant contacts named Hemanth. Similarly, commands like “Recharge FASTag” or “Gold price” navigate the user to the appropriate page or surface with the most relevant information or transactional options.

Beyond simple transactions, this feature captures insights and can interpret whether a user is trying to make a payment, complete a purchase, or reach support for help. All of this is achieved via a hybrid model that combines local on-device and cloud inferencing, while keeping all processing secure and ensuring privacy with no personal or transactional data leaving the PhonePe environment.

Speaking on the launch, Rahul Chari, Founder, Whole-time Director & CTO, PhonePe, said: “For years, payment apps have been built as utilitarian tools, optimized for transactions and not people. This launch is the first step towards changing that. Our vision is to make payments accessible to every Indian, and AI enables us to build an intelligent interface that anticipates what users need before they even go looking for it. Through our collaboration with Microsoft, we aim to simplify payments further by understanding intent, not just inputs. And we believe intelligence at the edge is the future and the most thoughtful way to deliver real value without compromising on privacy or security.”

Puneet Chandok, President, Microsoft India and South Asia said: “As more Indians embrace natural language to interact with digital services, PhonePe’s new AI-powered experience is a strong step toward more intuitive and accessible digital payments. Microsoft Foundry provides the underlying capabilities that help innovators like PhonePe build secure, scalable and human-centred products for millions. We’re committed to supporting India’s digital ecosystem with trusted AI that empowers organisations to deliver simpler and more meaningful customer experiences.”

The feature will be rolled out in phases to users across India. Users can access the feature via the Global Search Bar, Help Center and the History tab on the PhonePe payments app.

About PhonePe:
PhonePe Limited (Formerly PhonePe Private Limited) is a technology company that builds digital platforms for Payments, Digital Distribution Services and Financial Services. Headquartered in India, the PhonePe digital payments app was launched in 2016. As of September 30, 2025, PhonePe has over 65 Crore registered users and a digital payments acceptance network spread across over 4.7 Crore merchants.

PhonePe’s products and services include Consumer Payments (including Digital Distribution Services), Merchant Payments, Lending and Insurance Distribution services, and New Platforms, which comprise Share.Market (stock broking and mutual funds distribution platform), and Indus Appstore (Android-based mobile app marketplace).

For more details, contact: [email protected]

“PhonePe Limited (the “Company”) is proposing, subject to receipt of requisite approvals, market conditions and other considerations, to make an initial public offer of its equity shares and has filed an updated draft red herring prospectus – I (“UDRHP-I”) with the Securities and Exchange Board of India and Stock Exchanges i.e., BSE Limited and National Stock Exchange of India Limited. The UDRHP-I is available on the websites of our Company, at www.phonepe.com, SEBI at www.sebi.gov.in, the websites of the book running lead managers, i.e. Kotak Mahindra Capital Company Limited, J.P. Morgan India Private Limited, Citigroup Global Markets India Private Limited, Morgan Stanley India Company Private Limited, Axis Capital Limited, Goldman Sachs (India) Securities Private Limited, Jefferies India Private Limited and JM Financial Limited (at, https://investmentbank.kotak.com, www.jpmipl.com, www.online.citibank.co.in/rhtm/citigroupglobalscreen1.htm, www.morganstanley.com/india, www.axiscapital.co.in, www.goldmansachs.com, www.jefferies.com and www.jmfl.com, respectively), the website of the National Stock Exchange of India Limited at www.nseindia.com and the website of the BSE Limited at www.bseindia.com, respectively. Investors should note that investment in equity shares involves a high degree of risk. For details, potential investors should refer to the RHP which may be filed with the Registrar of Companies, Karnataka at Bengaluru, in future including the section titled “Risk Factors”. Potential investors should not rely on the UDRHP-I filed with SEBI in making any investment decision.”