Circles and Airwallex have announced a global partnership that signals a clear shift in how telecom operators are expected to grow beyond connectivity. By integrating Airwallex’s embedded finance infrastructure into the CirclesX SaaS platform, the two companies are enabling telcos to launch digital financial services at scale, without building their own banking infrastructure.

The move opens a new growth path for operators globally. Instead of relying solely on data plans and subscriptions, telcos can now expand into payments, wallets, and financial tools across more than 70 countries.

At a time when connectivity is becoming increasingly commoditized, this is less about adding features and more about redefining the telecom business model.

What the integration delivers

CirclesX has already established itself as a platform for digital telco transformation. Over the past decade, it has supported operators such as KDDI, e&, and AT&T in launching digital MVNOs and modernizing customer experiences. Telkomsel in Indonesia has also used the platform to upgrade its digital backbone.

With the integration of Airwallex, Circles is extending that platform into finance through its FinX stack.

FinX enables operators to introduce financial services directly into their existing digital environments. These include global payouts, travel cards, supplier payments, and expense management, all powered by Airwallex’s global financial infrastructure.

Core capabilities enabled by FinX

• Global payments and cross-border payouts
• Travel and corporate cards
• Supplier payments and expense tools
• Wallet functionality and remittances

The key advantage is operational simplicity. Operators do not need to build financial infrastructure, secure licenses, or manage regulatory requirements independently. Instead, they can deploy financial services as part of their existing platform.

Why telecom is moving into finance

The strategic logic behind this partnership is rooted in a broader industry shift.

Connectivity, once the core differentiator, is becoming a commodity. Pricing pressure continues to rise, and users increasingly see data as interchangeable between providers. As a result, telecom operators are under pressure to find new sources of revenue and differentiation.

Financial services offer a compelling solution.

Unlike connectivity, financial services drive frequent user engagement. Payments, transfers, and spending activity create daily interactions, increasing customer retention and lifetime value. They also introduce new revenue streams linked to transactions rather than subscriptions.

CirclesX positions operators to leverage their existing strengths, particularly customer identity and KYC processes, to expand into these areas.

Early results from Circles.Life

Circles’ own MVNO brand, Circles.Life in Singapore, provides early evidence of how this model performs.

The company has already launched two FinX-powered products: a semi-open wallet and a cashback card.

The results indicate strong user adoption. The wallet has driven 40% incremental subscriber growth by enabling easy top-ups via PayNow and peer-to-peer transfers. Meanwhile, the cashback card has significantly increased engagement.

Monthly transactions per user grew fivefold, while monthly spend increased tenfold. At the same time, customer satisfaction improved, with a 30-point year-on-year increase in NPS.

These figures suggest that financial services can meaningfully change how users interact with a telecom operator, shifting engagement from occasional usage to daily activity.

Airwallex as the global infrastructure

Airwallex plays a critical role in enabling this model to scale.

The company provides a global financial infrastructure that supports payments in more than 200 countries and territories. With over 80 licenses and permits worldwide, it offers the regulatory coverage required for telecom operators to launch financial services across multiple markets.

This eliminates one of the main barriers that has historically limited telco expansion into finance.

Instead of building local solutions in each market, operators can deploy services globally through a single integrated platform. This is particularly relevant for digital operators and MVNOs with cross-border user bases.

“Telecom operators sit at the centre of their customers’ daily lives, but connectivity alone is no longer enough to drive long-term growth. By partnering with Circles and integrating with the CirclesX platform, we’re enabling operators to embed trusted, global financial services directly into their digital experiences – unlocking new revenue streams, deeper engagement and stronger customer lifetime value at scale,”

said Arnold Chan, General Manager, Asia-Pacific, Airwallex.

A shift in telecom revenue models

The integration of embedded finance into telecom platforms has direct implications for how operators generate revenue.

Traditional telecom income streams, such as subscriptions and data usage, are increasingly under pressure. Competition and price sensitivity limit growth potential in these areas.

By contrast, financial services introduce new revenue sources tied to transactions. Payments, FX margins, card usage, and financial products create ongoing income streams that scale with user activity.

At the same time, they strengthen customer retention. Users who rely on an operator for both connectivity and financial services are less likely to switch providers, increasing lifetime value.

“At Circles, we’re continuously pushing the boundaries of innovation for the industry beyond just core telco products and we are confident that embedded financial products will power the next phase of revenue growth for telcos. With Airwallex’s fintech expertise, we’ve built a globally scalable financial services stack embedded in our platform, making it seamless for any telco organization to launch and scale financial products or services with zero licensing and infrastructure hassles”

said Awais Malik, Chief Growth Officer, Circles.

How does this compare to the market?

Telecom operators have explored financial services before, but with mixed results.

Many early attempts involved building standalone wallets or banking products, often facing challenges related to regulation, user adoption, and operational complexity. At the same time, fintech infrastructure providers such as Stripe, Adyen, and Marqeta have successfully enabled embedded finance across other industries.

The Circles–Airwallex approach differs in its level of integration.

Instead of creating separate products, financial services are embedded directly into the telecom platform. This reduces friction for operators and accelerates deployment, while also aligning with broader trends in platform-based business models.

It also positions telecom operators to compete more effectively in a market where financial services are increasingly integrated into digital ecosystems.

Conclusion

This partnership reflects a broader transformation in telecom.

Connectivity is no longer sufficient as a standalone value proposition. Operators are being pushed to expand into adjacent services that drive higher engagement and revenue.

Compared to previous attempts at telco fintech, the Circles and Airwallex model is more scalable and more aligned with how embedded finance is evolving globally. By integrating financial services directly into the platform layer, it removes many of the barriers that have limited adoption in the past.

At the same time, competition will intensify. Fintech infrastructure providers and large digital platforms are already building similar capabilities. The differentiator will be execution and speed to market.

CirclesX offers operators a way to move quickly, leveraging existing customer relationships and infrastructure. The early results from Circles.Life suggest strong potential, but the global rollout will be the real test.

If adoption scales, this model could redefine telecom from a connectivity provider into a broader digital services platform. The shift is already underway. The next phase will determine how far it goes.