Policy Wrap: Germany’s FCO contemplating placing Microsoft under close watch, Over 95,000 cases of fraud in UPI transactions reported in 2022-23, and more

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Germany’s Federal Cartel Office (FCO) contemplating placing Microsoft under close watch

German anti-cartel watchdog said on Tuesday that it was contemplating on keeping a careful eye on US conglomerate Microsoft for any potential abuses. According to the Federal Cartel Office (FCO), a preliminary assessment of Microsoft and whether it is of "paramount significance across markets" has been made. If this is confirmed, the move may open the door for the government to take preventative measures against anti-competitive practises.

Microsoft has had a longstanding and strong presence with its Windows and Office products, according to the authority's president Andreas Mundt. With the integration of AI applications lately, the business has gained attention. Given this, it makes sense to consider whether Microsoft is of paramount significance for competition across markets. A finding like that would enable the competition watchdog to take preventive action and forbid potential anti-competitive behaviour.

The watchdog had already increased monitoring of Google and Meta, the business that controls Facebook, WhatsApp, and Instagram. The amended German Competition Act, which took effect in January 2021 and permits the authority to intervene sooner, especially against large digital companies, made it possible for such action to be taken.

UPI fraud cases rise by over 13% from last year; over 95,000 cases reported in 2022-23

The National Payments Corporation of India's (NPCI’s) data shows that over 125 crores worth of UPI transactions were completed just last year. Out of those, more than 95,000 cases of fraudulent UPI transactions were reported in the nation in 2022–23. According to the Union Finance Ministry, this marks a rise in the number of cases as compared to 77,000 cases in 2020–21 and 84,0000 cases in 2021–22.

According to statistics from NPCI, the total of more than 125 crores in value last year in UPI transactions marks an increase from the previous three years.

Singapore, the UAE, Mauritius, Nepal, and Bhutan are among the nations that have implemented UPI, which points towards a big step in its global acceptance.

NPCI issues directives to UPI Apps, Web retailers to ensure increased Interoperability

In order to increase interoperability in the payments ecosystem, the National Payments Corporation of India (NPCI) requested UPI service providers and online retailers to meet a number of requirements. In a circular, NPCI requested that they clearly display the UPI option for customers, particularly for online transactions, and set a deadline of September 30, 2023, for them to comply.

In India, UPI has become the most widely used form of digital payments. To guarantee that every citizen benefits from it, the government wants it to reach every nook and corner of the nation.

The NPCI has instructed UPI applications to clearly display the UPI and app logos on QR scan screens within the apps, as well as the text "Send Money to Any UPI App" or "Scan Any UPI QR." All interactions and advertisements with customers and businesses should also contain the text.

It requested that UPI merchants make sure that UPI is plainly and clearly displayed "over and above" any specific UPI apps for merchant payments, particularly for online transactions. The "Pay by any UPI app" button should be the "first and prominent" choice in the section where a customer selects UPI as the preferred mode of payment. Furthermore, a generic flow to all of these applications should be guaranteed when a customer chooses this option, and all of the active UPI apps should be presented without any discrimination.

Additionally, NPCI requested that desktop/laptop web-based retailers use dynamic QR codes before September 30, 2023, rather than static QR codes.

About 80% of early-stage startups plan to increase workforce in 2023 despite funding winter: FICCI-Randstad survey

According to a study conducted by the Federation of Indian Chambers of Commerce and Industry (FICCI) and Randstad India, almost 80% of early-stage startups plan to hire more people in 2023. Only 15.78% of startups, the majority in early stages, plan to retain their current headcount, according to the FICCI-Randstad Startup Hiring Trends survey. More than half of the surveyed startups blame the high attrition rate on things like higher pay packages provided by bigger companies and worries about job security in a startup.

About 92% of these startups claimed that new project orders, extra funding from investors, and expansion plans would be the main influences on their hiring decisions. While most startups foresee growing their workforce, more than a third of them anticipate hiring more people by over 30%.

According to the research, hiring will mainly take place at the junior and mid-level positions. The majority of startups polled think that Employee Stock Option Pool, or ESOPs, have the potential to be the most effective tool for employee retention. More than 40% of the startups polled have already used ESOPs as a retention tactic.

MeitY establishes 9-member task force to promote India as a 'product developer and manufacturing nation'

In another move towards positioning itself as a rival to nations like China and Vietnam, the Ministry of Electronics and Information Technology (MeitY) has established a nine-person task force to make India a "product developer and manufacturing nation". The task force will present its recommendations in two months, according to the circular distributed to the members. The circular mentions that the task force will be debating on how to advance India to become a product creator and manufacturer nation, though it does not go into specifics about the mission.

The task force are likely to examine deepening domestic value addition in electronics manufacturing and tracing the local production story beyond the ambitious production-linked incentive (PLI) plan, according to industry executives in the know.