Every company seems to have their own mobile payment system these days. Apple has Apple Pay, Google has Google Wallet, Amazon has Amazon Wallet, and so on. Now Samsung is reportedly trying to get in on that action by launching its own digital wallet next year.
According to Re/code, Samsung is in talks with a payments startup called Loopay — talks that will see Samsung launch its own payment system designed to rival Apple Pay. Loopay itself utilises tech that is compatible with existing magnetic card readers, which negates the need for retailers to purchase new equipment.
Any system launched as part of a collaboration between Samsung and Loopay would likely use the same tech, rather than NFC, which would likely give Samsung the advantage when forming partnerships with retailers. Paying with a card’s magnetic strip is relatively insecure, but apparently Samsung’s system will rely on fingerprint scanning to confirm a persons identity.
This wouldn’t be Samsung’s first attempt at mobile payments though. The smartphone maker has already formed partnerships with PayPal to bring NFC payments to the Galaxy S5 and Galaxy Note 4. What would happen to that partnership if Samsung does team up with Loopay is unclear, but it’s likely that Samsung will sever ties in favour of a system that’s completely under its control.