Razorpay launches Vulcan, India’s first AI payments model

Fintech major Razorpay has launched Razorpay Vulcan, described as India's first transformer-based AI payments foundation model, built in partnership with Nvidia and AWS. The model aims to reduce payment failures, enhance fraud detection, and improve transaction routing across India's digital payments ecosystem. Hindustan Times reports that early testing across over 1.5 million transactions and more than 50,000 merchants showed an 8-10% improvement in payment success rates and a 5x reduction in fraud.

Telangana Today adds that the model has been deployed across around 3 trillion data points on Razorpay's network, helping improve payment success rates by up to 10% and detect eight times more international card fraud. Razorpay CEO Harshil Mathur said the model understands the 'language of money' and was built because no pre-existing foundation model for Indian payments existed. The model is hosted within Razorpay's private infrastructure in India, complying with RBI data localisation norms and the DPDP Act.

Razorpay developed Vulcan from scratch, training it on 3 trillion data points from 4 billion digital payments, using Nvidia's H100 GPUs and AWS cloud infrastructure. The model is designed to handle three key functions: precise routing of payments, fraud detection, and risk intelligence. Razorpay said the model will eventually be expanded to power payment decisions across authentication, routing, fraud detection, and lending.