Digital payments major PhonePe has launched a new AI-powered natural language search feature designed to simplify how users navigate its app. Built on Microsoft Foundry’s advanced AI infrastructure, the new capability allows customers to search and complete transactions using everyday conversational language instead of traditional keyword-based queries.

The feature aims to make digital payments more intuitive, enabling users to type or speak phrases such as “pay my electricity bill,” “recharge my Jio number,” or “send ₹500 to Rahul,” and receive instant, accurate results within the app.

Built on Microsoft Foundry’s AI Stack

The new search system leverages Microsoft Foundry’s generative AI models, cloud infrastructure, and security framework. By integrating large language models (LLMs), PhonePe can better interpret context, intent, and regional language variations, ensuring more accurate and personalized results.

Microsoft Foundry provides enterprise-grade AI tools that allow companies like PhonePe to deploy scalable and secure AI applications. The collaboration underscores PhonePe’s growing investment in artificial intelligence to enhance user experience and operational efficiency.

Multilingual and Context-Aware Capabilities

A key highlight of the feature is its ability to understand multiple Indian languages and mixed-language queries, commonly known as “Hinglish” or regional language blends. This functionality is expected to significantly improve accessibility for users across Tier-2 and Tier-3 cities, where voice and vernacular search adoption is rising rapidly.

The AI engine also adapts to user behavior over time, offering more relevant suggestions based on transaction history and frequently used services.

Improving Discovery Across Services

PhonePe offers a wide range of services including UPI payments, mobile recharges, utility bill payments, insurance, investments, and travel bookings. With the new AI-powered search, users can more easily discover these services without navigating through multiple menus.

The company believes the update will reduce friction, shorten transaction times, and encourage greater adoption of digital financial services.

Strengthening India’s AI and Fintech Ecosystem

The launch comes at a time when Indian fintech firms are increasingly embedding AI into their platforms to enhance personalization, fraud detection, and customer support. By partnering with Microsoft Foundry, PhonePe positions itself among the early adopters of generative AI-powered financial search in India’s digital payments ecosystem.