PhonePe launches Indus Appstore

PhonePe, owned by Walmart, launched the Indus Appstore on February 21, aiming to rival Google Play Store in India, the second-largest smartphone market globally. The launch follows PhonePe's opening of its app marketplace to Android developers four months ago, reported by Moneycontrol in September 2023.

Indus Appstore aims to tap into India's growing app economy, where users spent 1.19 trillion hours on mobile apps in 2023. It also addresses the ongoing dispute between Google and Indian startups over Play Store policies and fees.

The app is currently available on PhonePe's website, offering a mobile number-based login system for users without email accounts. PhonePe has partnered with OEMs like Nokia and Lava to integrate the app store into their devices since November 2023.

For developers, Indus Appstore allows listings in 12 Indian languages, charges zero percent fee on in-app purchases (compared to Google Play's 15-30 percent), and offers 24x7 India-based support. Additionally, developers can integrate any payment gateway of their choice.

This launch aligns with regulatory scrutiny on Google's app marketplace practices in India. In October 2022, CCI directed Google to modify its conduct towards smartphone makers and app developers, including allowing third-party app stores on Google Play.

PhonePe's move to launch Indus Appstore follows its acquisition of Indus OS in July 2022 and plans confirmed by its co-founder Sameer Nigam in April 2023. Apart from annual fees, the app store may monetize through advertising and value-added services.

PhonePe, founded in 2015, boasts over 510 million registered users and has raised over $850 million from investors like General Atlantic and Tiger Global.