Cashfree, Razorpay drop third-party orchestrators; Juspay pushes back
Juspay clarified in a blog post that it is a Technology Service Provider (TSP), not a payments intermediary. Merchants independently partner with Juspay and PAs, making claims about “ending partnerships” factually incorrect it said.
Fintech companies Cashfree and Razorpay have moved away from third-party payments orchestrators, including Juspay, to directly integrate with their merchants.
"We plan to transition away from integrations via third-party routers and orchestrators. By offering direct integration, we can accelerate the delivery of features and offer superior support and merchant experience," a spokesperson representing Cashfree said.
“We will offer payment gateway services through our own, direct integrations with our customers. We believe that only through direct integrations can we ensure our latest innovations reach our customers swiftly and enhance their operations and experiences seamlessly,” a spokesperson for Razorpay said.
This comes after PhonePe, in a similar move, ended its relationship with Juspay in December to directly reach its merchant base.
JusPay is a payment orchestrator that simplifies and optimizes digital payments for businesses by integrating multiple payment providers, gateways, and banks into a unified platform.
JusPay provides a single integration for businesses to access multiple payment options, including UPI, credit/debit cards, net banking, and wallets. This reduces the complexity of managing multiple payment service providers.
The development was first reported by the digital portal The Head and Tale.
JusPay optimises transaction success rates by routing payments through the best-performing gateway in real-time. If a transaction fails on one gateway, it automatically retries via another to improve success rates.
However, Juspay clarified in a blog post that it is a Technology Service Provider (TSP), not a payments intermediary. Merchants independently partner with Juspay and Payment Aggregators (PAs), making claims about “ending partnerships” factually incorrect, it said. Juspay earns revenue from merchants for its software, not from PAs, it said in response to reports suggesting otherwise.
"Merchants pay us for our software as it provides them value. We have no dependence on these PGs* for this revenue," Juspay states, refuting claims about partnerships ending.
It also emphasizes merchant independence: "Merchants' choice to use Juspay Orchestrator... is similar to them deciding on technology software/services like AmazonWS." Advocating interoperability, Juspay notes, "PAs are also building their own Third-Party routers... and we welcome that."