Paytm, the Indian financial technology giant, is undergoing a significant transformation led by CEO Vijay Shekhar Sharma. The company is strategically leveraging artificial intelligence (AI) to streamline operations, reduce staffing needs, and expedite its journey toward profitability.

In a recent interview, Sharma highlighted the company’s two-pronged strategy, focusing on a revamp of Paytm’s wealth management services and the expansion of its merchant network. The integration of AI tools from tech leaders Microsoft and Google has played a crucial role in accelerating product development, improving efficiency, and achieving substantial cost savings.

Sharma emphasized that the use of AI has not only enhanced efficiency but has also exceeded expectations, resulting in a targeted 10-15% reduction in employee costs. The strategic implementation of AI aligns with Paytm’s broader plan to achieve profitability within a year, marking a remarkable turnaround for the company.

As part of its expansion plan, Paytm aims to hire over 50,000 salespeople to onboard more merchants and revamp its online wealth management services. The company is repositioning its money management products to cater to a younger demographic interested in online investing, capitalizing on the increasing preference for digital wallets in India.

Despite facing challenges, including regulatory hurdles and competition from rivals like PhonePe, Paytm is optimistic about its trajectory. The company has generated free cash flow for two consecutive quarters and is witnessing positive trends in its operating profitability. Sharma’s vision includes having about 50 million merchants on the Paytm platform within the year.

The shift toward AI-driven automation, coupled with strategic initiatives in wealth management and merchant services, positions Paytm for a dynamic future in India’s rapidly evolving fintech landscape. The company’s commitment to innovation and efficiency reflects its determination to stay at the forefront of technological advancements and provide enhanced services to users across the country.