Estonia based mobile payment provider Fortumo has inked agreements with four Indian telcos – Vodafone, Airtel, Idea and Tata Docomo to extend its direct carrier billing solution to India. Through this tie-up, the company claims to cover 61% of the mobile phone market share in India.
Offerings: As per the company website, Fortumo currently offers in-app payment solutions for native Android, Windows Phone & Windows 8 and NOOK apps and a browser-based direct mobile payment solution for web, mobile web and HTML5 apps.
It also provides an API for developers and aggregators for advanced integration and white labeling purposes and a mobile payments API for appstores, OEMs, and publishers. Besides this, Fortumo also offers a dashboard where developers can view transactions and billing revenue based on the location and pricing.
Telco Revenue Share Breakup: As for transaction fees, telcos expectedly take a certain percentage from each transaction (around 40-60% depending on the end user price) and Fortumo takes a small commission (around 2%-3% of net price) while the remaining goes to the developer.
Update: An earlier version of this story mentioned that Fortumo had different revenue shares for different telcos (49-53% for Idea, 44-59% for Vodafone, 16-20% for Airtel and 11-15% for Tata Docomo). Fortumo has told Medianama that it had accidentally uploaded incorrect information about revenue shares on its India homepage earlier and the payouts for all four operators are the same, which range between 40% -45% depending on the amount.
Receiving payouts: For payouts, there is a minimum payout limit of €100 and developers can receive payment either through wire transfers to bank accounts or through PayPal, Webmoney and Moneybookers. There is however a transaction fees for payout options besides Paypal where transaction fees are free. Remember that RBI had recently increased the transaction value limit for Paypal and online payment gateways to $10,000.
Fortumo says it supports both monthly and one-time payouts for developers, although the payment happens only after a four months period i.e. revenue earned in January will be transferred in the first half of June.
Founded in 2007, Fortumo claims to offer carrier billing solutions across 300 telcos in 74 countries. It also claims to have signed up 92,845 developers from 187 countries at the time of writing this article.
Earlier this month, Ver Se Innovation had also launched a carrier billing platform called iPayy. The company had partnered with Idea and Airtel to offer operator billing and had stated plans to partner with Vodafone and another operator shortly.