In an interview with CNBC-TV18, ToneTag Founder and CEO Kumar Abhishek explained that the device serves as a banking extension for MSMEs, enabling merchants to engage in banking services, access business information, and obtain credit via natural voice conversations, all without needing to visit a physical bank.
“Just like ATMs revolutionized banking for consumers, eKosha will transform banking for MSMEs,” Abhishek stated.
Currently, the company serves approximately 30 lakh MSMEs through its technology platform, with plans to add an additional 20 lakh merchants this year. Of these, around 5 lakh MSMEs are anticipated to adopt eKosha within the year.
Abhishek mentioned that the device is designed to eventually cater to all of India’s nearly 7 crore MSMEs, with pricing aimed at making the product accessible to businesses nationwide.
Unlike conventional banking apps, eKosha employs a voice-first interface, supporting 10 Indian languages from its launch. Built on ToneTag’s unique analog computing technology, the device can process voice interactions locally, allowing for offline use and reducing reliance on cloud services.
The platform empowers merchants to accept digital payments while also providing access to banking services, credit, business insights, and customer support via conversational AI.
Abhishek clarified that the company is not in competition with banks or payment providers; rather, it serves as a technology partner. ToneTag collaborates with banks and payment platforms, including Amazon Pay and Google Pay, to supply the foundational technology that underpins merchant services.
According to him, eKosha addresses a significant issue faced by merchants as digital payments increasingly dominate their operations. Instead of waiting for customer support on helplines when payment complications arise, merchants can interact with the device in their preferred language and receive immediate assistance.
The company envisions that the product could become one of the world’s most extensive AI implementations focused on MSMEs by making artificial intelligence affordable and accessible for small businesses.
Abhishek noted that banks—rather than merchants—will be responsible for paying for the service through a Software-as-a-Service (SaaS) model. He highlighted that financial institutions can reduce servicing costs by substituting expensive branch visits and relationship management with an always-available conversational banking channel.
ToneTag, which secured $90 million last year, is not seeking new funding at this time, according to Abhishek, who affirmed that the company is “well capitalized.”
The company claims that eKosha allows banks to deliver merchant banking services directly at the payment point without needing additional infrastructure. The platform supports UPI and CBDC payments while also facilitating access to banking services, government schemes, credit, and business insights through natural language interactions.
