Samsung buys mobile payment company LoopPay; Samsung Galaxy S6 will support the service

Samsung buys mobile payment company LoopPay; Samsung Galaxy S6 will support the service
Back in December. we told you that Samsung would offer its own mobile payment service in 2015. We also mentioned that the company was in talks with LoopPay, a start up company whose technology worked on Samsung handsets when tested last year. On Wednesday, Samsung announced that it had purchased LoopPay for an undisclosed amount.

Instead of using NFC connectivity like most other mobile payment services including Apple Pay, LoopPay relies on the magnetic strip reader terminals at retail store checkout lines. LoopPay's technology turns these readers into receivers. Using a digital payment card that could be stored inside a smartphone case, the user taps his phone to the terminal to make a payment.

With LoopPay's technology, Samsung instantly has a huge advantage over Apple. 90% of retailers already have magnetic swiping machines which mean that over 10 million locations already support LoopPay's system versus the 220,000 and growing that support Apple Pay. David Eun, head of Samsung's Global Innovation Center says, "If you can't solve the problem of merchant acceptance..., of being able to use the vast majority of your cards, then it can't really be your wallet." Apple Pay's use of NFC requires retailers to install it in their stores, something that many are loath to do.

While Samsung's Injong Rhee, who is in charge of the mobile payments project for the manufacturer, wouldn't say if we would hear more about this at MWC in Barcelona, he did say that the Samsung Galaxy S6 will support the service. Rhee has said that Samsung wants to go further than just allowing users to make payments using their phone. The goal is to provide users with information about their spending similar to how the S Health app tracks users health and fitness information.

source: Reuters

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22 Comments

1. jesusnexo unregistered

or you know... use google wallet? but I guess Samsung always wants to make their own things

2. Derekjeter

Posts: 1459; Member since: Oct 27, 2011

Isn't Google wallet just like Apple pay? Verizon doesn't allow Google wallet so this will be better than anything out there now, but at the end the wallet is much easier.

4. carlos5593

Posts: 28; Member since: Jun 23, 2012

Any android phone running KitKat or more up to date version of android can run google wallet regardless of Verizon.

5. drunkenjay

Posts: 1651; Member since: Feb 11, 2013

google wallet does not work in some countries like australia.

10. vincelongman

Posts: 5653; Member since: Feb 10, 2013

I dont understand this Basically every shop in Australia, NZ (and probably Europe) accept mastercard paypass or mastercard paypass Which mean they will also accept Google Wallet (or even Apple Pay)

12. drunkenjay

Posts: 1651; Member since: Feb 11, 2013

nope. google wallet is US only and same as apple pay. i have been waiting for quite a while. its really stupid here. or they just dont care about us

18. vincelongman

Posts: 5653; Member since: Feb 10, 2013

That's what I meant I dont understand why Google Wallet or Apple Pay isn't in Australia/NZ yet

6. nctx77

Posts: 2540; Member since: Sep 03, 2013

No, Samsung wants to be Apple.

19. Cicero

Posts: 1108; Member since: Jan 22, 2014

Better than Apple.

20. danielxxi

Posts: 183; Member since: Feb 13, 2013

You mean copying

21. shuaibhere

Posts: 1986; Member since: Jul 07, 2012

copying what apple pay???or it is apple copying google wallet???

3. madmikepr

Posts: 138; Member since: Aug 09, 2011

I was wondering why the only device will support it will be s6 ??

14. j2001m

Posts: 3061; Member since: Apr 28, 2014

Because you going to have to have the tech in it to do into start with

7. joey_sfb

Posts: 6794; Member since: Mar 29, 2012

Does Apple Pay or Google Wallet give purchase points like a credit card?

8. Crispin_Gatieza

Posts: 3111; Member since: Jan 23, 2014

The de-google-ization of Samsung continues. Careful not to burn too many bridges (Qualcomm).

9. HTCOE

Posts: 650; Member since: Nov 20, 2011

this hurry to stay in the competition strategy from sasung is getting old... they envy apple

11. Donone41

Posts: 246; Member since: Dec 17, 2014

Not envy. They'll one up apple.

13. maccess

Posts: 742; Member since: Jan 16, 2013

Doesn't matter.. samsung is so rich and wealthy.. not like your htc..

22. HTCOE

Posts: 650; Member since: Nov 20, 2011

I do not own a HTC phone

15. Crispin_Gatieza

Posts: 3111; Member since: Jan 23, 2014

Envy what? Apple didn't create mobile payments. I could care less about Samsung, Apple or Android but competition and choice for consumers is ALWAYS a good thing.

16. j2001m

Posts: 3061; Member since: Apr 28, 2014

This give Samsung time to sort out nfc payments in the usa and make it harder for Apple to lock Samsung out and so on

17. bugsbunny00

Posts: 2262; Member since: Jun 07, 2013

looppay is better than google wallet nor apple pay nfc..

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