PhonePe system faced UPI payment failures due to tech glitch
13 May 2025, 01:25 PMPhonePe co-founder Rahul Chari said that the company has initiated active DR drills, with heightened cybersecurity measures on its network firewall.
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Payments giant PhonePe reported a technical glitch in its system that led to transaction failures on its platform. Confirming the glitch, PhonePe co-founder Rahul Chari said that the company has initiated active DR drills, with heightened cybersecurity measures on its network firewall.
"This evening, 100% of our traffic across all our services was being served through a new data center. Unfortunately, the Monday evening peak traffic exposed a network capacity shortfall due to which transactions started failing. We have now rebalanced our traffic across our other sites and are seeing the recovery. Our apologies for this."
"We assure to take these learnings and further strengthen our systems," he added.
Outage tracking platform Down Detector recorded a spike in user reports starting at 6 p.m. -- which peaked around 6.45 pm, Monday -- leading to speculation of a broader UPI system crash.
However, the National Payments Corporation of India (NPCI) clarified that the UPI network was operating normally, with the issue isolated to PhonePe’s infrastructure.
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