Tag: south korea

Samsung to launch its mobile payments service in the US next month

Samsung Pay will be launching in the United States next month following trials in South Korea

Samsung has announced that its new mobile payments service, Samsung Pay, will be available in the United States next month. The company has been testing the service in South Korea this month, hoping to iron out bugs before launching in a larger market where mobile payments have begun to grow aggressively. The service will function in a similar fashion to other platforms, such as Apple Pay, as it will be able to store financial information as well as data provided by retailers.

Samsung Pay to make use of NFC technology and tokenization

Samsung Pay will be leveraging NFC technology in order to facilitate transactions. This technology is capable of transmitting digital information over short distances, which is why it has become the backbone for most mobile payments systems. The service will also be using fingerprint verification in order to protect the financial information of its users. Further protection will be provided in the form of digital tokens, which are used to replace consumer financial data in order to protect it from exploitation.

Samsung will be competing with Apple in the mobile payments space

Mobile Payments - SamsungThe launch of the new service represents another step forward concerning Samsung’s plans for mobile payments. The service is meant to compete directly with Apple Pay, which is already available in the United States and will soon be available in other markets. Apple has managed to establish a powerful lead in the mobile payments space, largely due to the security that the company has injected into the service.

Mobile payments services continue to face significant challenges that prohibit their success

Though Apple has managed to establish a lead, it still faces many of the challenges that are preventing other mobile payments platforms from finding widespread success. Security is one of the more significant of these challenges. In the past, high profile cyber attacks have called into question the safety of mobile payment platforms, which has limited the appeal of these services among consumers.

Samsung has begun testing its mobile payments platform

Samsung tests Samsung Pay in South Korea

Samsung begun testing its new mobile payments platform in South Korea. Called Samsung Pay, the platform aims to become one of the most effective ways for consumers to make mobile payments, competing with other services from companies like Apple and Google. The platform has already generate some degree of hype, and Samsung has tentative plans to release it at some point later in the year, but has yet to announce an official launch date.

Samsung Pay to use magnetic secure transmission to make mobile payments accessible

Samsung Pay works in a similar fashion to other mobile payments platforms, leveraging NFC technology and biometrics in order to authenticate a mobile transaction. The biometrics that the platform uses, which is a fingerprint scanner, will make transactions secure, effectively protection consumer financial information as they use Samsung Pay to purchase products. The platform also makes use of magnetic secure transmission, which is a similar to the magnetic strips that are associated with traditional credit cards.

NFC technology has yet to see widespread adoption among retailers

Mobile Payments being TestedNFC technology is one of the staples of mobile payments, but relatively few retailers have yet to embrace the technology. There are few NFC-enabled point-of-sale systems, which has limited the growth of mobile payments in physical stores. This is why Samsung Pay’s magnetic secure transmission may be a boon, as it will allow the platform to work with conventional point-of-sale systems in order to make mobile payments possible.

Competition in the mobile payments field continues to grow as companies enter into the space

Samsung will be facing harsh competition in the mobile payments space, much of which will come from Apple. Google also plans to launch its own mobile payments platform. This competition will give consumers plenty of options when it comes to mobile payments, but companies may find it difficult to keep the attention of consumers for long. Many consumers have yet to show loyalty to a singular platform, favoring the ability to jump from one platform to another in order to find the most benefit.