Fintech company PhonePe has launched a new digital payment service for users of feature phones, allowing them to make UPI transactions without an internet connection. The company has introduced the PhonePe UPI 123Pay feature, which also offers assistance through an AI voice assistant in 12 languages. With the launch, PhonePe has become the first major third-party application provider in the country to introduce this digital payment service specifically for feature phone users. According to the company, the service could benefit more than 20 crore feature phone users across India. PhonePe said the service is based on its proprietary technology and uses an SMS-based infrastructure to make transactions reliable even in areas with limited 2G connectivity. The initiative is aimed at expanding access to digital payments among users who may not have regular or reliable internet access. To make the service available on devices from the outset, PhonePe has partnered with mobile phone manufacturers including Nokia, HMD, Lava International and iTel Mobile. PhonePe Founder and Chief Executive Officer Sameer Nigam said that bringing UPI payments to feature phones through PhonePe UPI 123Pay would help extend the benefits of digital payments to every corner of the country. He said the initiative is aimed at bringing the next 30 crore users into the digital payments ecosystem, further expanding the reach of digital transactions in India.