Pay Solutions CEO Warns of Platform Monopoly Threat as Firm Posts 100% Growth

Digital payment infrastructure company raises concerns over foreign marketplace dominance whilst celebrating record transaction volumes.

The chief executive of Pay Solutions has issued a stark warning about the growing monopolisation of Thailand's digital commerce landscape by foreign platforms, even as his company celebrates record growth of 100% year-on-year.

Speaking at a media briefing on Wednesday, Pawut Pongvittayapanu outlined both the opportunities and challenges facing Thailand's digital payment ecosystem, highlighting concerns that marketplace giants are squeezing Thai merchants whilst locking away valuable customer data.

Foreign Platforms Tighten Grip on Thai Commerce

The dominance of international platforms such as Lazada, Shopee, and TikTok has become a pressing concern for Thai merchants, according to Pawoot, who also serves as a commissioner working on regulatory policy.

"Service fees on these platforms have grown to between 15% and 25%, leaving Thai merchants with minimal profit margins," he said. "More concerning is that platforms like Shopee and TikTok are now blocking access to customer data – names and telephone numbers – preventing merchants from building direct relationships with their own customers."

The CEO urged Thai businesses to adopt an "owned channel" strategy, using marketplaces primarily to acquire new customers whilst migrating repeat purchases to their own platforms through websites, chat, and email channels.

 

Pay Solutions has been collaborating with the Office of Trade Competition Commission and the Ministry of Commerce to establish guidelines that would regulate marketplace pricing and prevent monopolistic practices.

 

 

Unlike food delivery services, which were brought under price controls during the COVID-19 pandemic, e-commerce platforms remain largely unregulated.

 

The company is also pushing for an "Open Platform" or "Open Commerce Network" (OCN) policy that would give merchants greater access to data and shared solutions.

 

 

 

Thailand's Digital Payment Transformation

The concerns come against a backdrop of rapid digital transformation in Thailand's payment landscape. Data from the Bank of Thailand shows that e-payment usage has increased to an average of 699 transactions per person annually, up from 651 previously.

 

PromptPay has emerged as a dominant force, with approximately 91 million registered IDs and 76 million daily transactions as of 31st July 2025.

 

The real-time transfer system is rapidly overtaking credit cards as the primary payment method, driven by its convenience, speed, and lower transaction costs.

 

However, the country faces a complex regulatory challenge. The Bank of Thailand had previously attempted to mandate that debit card transaction processing occur domestically through ITMX for security and investment purposes.

 

Pawoot expressed concern that potential US government proposals under the Trump administration could create loopholes allowing international card companies like Visa and Mastercard to process financial transactions and data outside Thailand.

 

"This would mean data isn't stored in the country, potentially creating additional costs for data transmission and security risks," he warned.

 

 

Pay Solutions Records Strong Growth

Despite the challenging landscape, Pay Solutions reported robust financial performance.

 

The company processed approximately 10,000 million baht in transactions during the first 10 months of 2025, with year-end projections reaching 12,000 million baht – representing 100% growth from the previous year's 6,000 million baht.

 

This marks the company's strongest growth rate, significantly higher than historical growth of 40-55% annually. Over the past five years since the company intensified its focus on payment solutions, cumulative transaction value has reached approximately 21,000 million baht.

 

The company also facilitated approximately 1,200 million baht in foreign currency inflows into Thailand this year, with 10% originating from the tourism sector.

 

Key industries driving foreign currency transactions include tourism, digital platforms, cosmetics, food, and health.

 

Major customer segments include travel, education, platforms, and home and decoration industries.

 

 

 

Tackling Security Threats

The rise of "mule accounts" – bank accounts used to launder illicit funds – has emerged as a significant concern, with criminal networks increasingly targeting business accounts.

 

Pay Solutions is collaborating with government agencies including the Anti-Money Laundering Office (AMLO) and ITMX to develop a central blacklist system.

 

The company is deploying artificial intelligence to monitor transactions in real-time and intercept suspicious funds.

 

"We're working closely with government agencies to strengthen security and compliance," Pawoot said.

 

 

 

Ambitious Plans for 2026: AI and Infrastructure 3.0

Looking ahead, Pay Solutions plans to launch "Payment Infrastructure Version 3.0" next year, emphasising stability, security, and ease of use.

 

The upgraded platform will encompass both payment collection (pay-in) and disbursement (pay-out) capabilities.

 

Artificial intelligence sits at the heart of the company's transformation strategy. Pay Solutions has trained staff across all departments to use AI tools, achieving dramatic efficiency gains.

 

The accounting team reduced task completion time from two hours to just five minutes, whilst the sales team cut document processing time from one hour to two minutes.

 

"We're not laying off staff – we're enhancing their capabilities with AI," Pawoot emphasised. "We're actually expanding our data and AI teams."

 

The company is also pushing into the offline market more aggressively, launching "Super EDC" – an intelligent point-of-sale terminal developed in partnership with the 'Jaidee' platform.

 

The device combines payment processing with retail management capabilities, including loyalty programmes, customer relationship management, and AI-powered analytics.

 

Priced from 850 baht monthly, the Super EDC enables merchants to accept instalment payments across multiple banks through a single device, potentially reducing costs by 600% compared to maintaining six separate terminals.

 

 

 

Beyond Payment: Building an Ecosystem

Pay Solutions positions itself as more than a payment processor, aspiring to become comprehensive payment infrastructure supporting Thai businesses.

 

The company plans to expand its services to include comprehensive offerings across credit cards, digital wallets, mobile banking, and instalment payment systems.

 

A new payout service will enable businesses to disburse funds without managing relationships with multiple banks. The company is also developing vertical solutions for specific industries and operational tools to help merchants grow.

 

"The goal is to create an integrated payment ecosystem that connects all players in the business chain, driving sustainable growth for Thai merchants both domestically and internationally," Pawoot said. "Future growth will come from collaboration, not competition – to benefit, build upon, and grow together."

 

The CEO identified several challenges facing the industry in the coming year, including potential policy discontinuity due to frequent government changes, international regulatory shifts affecting data sovereignty, potential new foreign competitors targeting the SME segment, and cryptocurrency regulation complexities.

 

On the latter point, whilst acknowledging opportunities in digital assets, Pawoot noted the challenges in controlling cryptocurrency flows.

 

He has invested in companies licensed by the Securities and Exchange Commission and suggested the government might introduce a "Tourist Wallet" allowing cryptocurrency purchases in designated sandbox areas.

 

 

Market Context

According to Bank of Thailand data, Thailand processed over 160,700 million baht in card terminal transactions from January to July 2025, though slightly down year-on-year. Online transactions totalled 39.1 million transactions (up 16% YoY), valued at over 48,500 million baht.

 

The data reveals that offline transactions still command significantly higher values than online payments, reflecting Thai consumers' continued preference for in-store purchases, particularly for products requiring confidence and experience before purchase.

 

Pay Solutions' offline transactions surged 238% year-on-year to over 760 million baht, reflecting merchants' renewed investment in physical channels alongside online expansion.

 

Thailand's GDP growth for 2025 is projected at just 1.8-2.2%, reflecting weak domestic purchasing power. This has prompted government policies encouraging digital economy development and cross-border trade to attract foreign currency into Thailand's economic system.

 

Pay Solutions' 2025 transaction volume represents approximately 0.06% of Thailand's GDP of 19 trillion baht.