We heard earlier today that Samsung could have paid as much as $250 million for LoopPay, the mobile payments system that Samsung is turning into Samsung Pay.
Samsung Pay is expected to launch in the second half of 2015 and now Samsung has announced that it is shutting down Samsung Wallet.
The Transition from Samsung Wallet to Samsung Pay
Samsung Wallet was released back in 2014 and now Samsung has started to email users of the service to let them know that it will be shut down from the 30th of June 2015. This move is part of Samsung’s broader strategy to streamline its services and focus on the more advanced and versatile Samsung Pay platform.
After this date, you will no longer be able to add any tickets or membership cards to Samsung Wallet, although all existing ones will apparently continue to work. This means that while users can still access their current tickets and membership cards, they won’t be able to add new ones, making the service gradually obsolete.
We presume that Samsung will build many of the features from their Wallet app into their new Samsung Pay mobile service when it launches later in the year. Samsung Pay is expected to offer a more comprehensive and secure payment solution, integrating features such as NFC (Near Field Communication) and MST (Magnetic Secure Transmission) to ensure compatibility with a wide range of payment terminals.
What to Expect from Samsung Pay
Samsung Pay aims to revolutionize the way users make payments by offering a seamless and secure mobile payment experience. Unlike Samsung Wallet, which was primarily focused on storing tickets and membership cards, Samsung Pay will allow users to make payments directly from their smartphones. This is expected to significantly enhance the convenience and usability of the service.
One of the standout features of Samsung Pay is its compatibility with both NFC and MST technologies. While NFC is widely used in contactless payment systems, MST allows Samsung Pay to work with traditional magnetic stripe card readers. This dual compatibility ensures that Samsung Pay can be used at virtually any payment terminal, making it a versatile option for users.
Additionally, Samsung Pay is expected to incorporate advanced security features to protect users’ financial information. This includes tokenization, which replaces sensitive card information with a unique token that can be used for transactions. This ensures that the actual card details are never exposed during the payment process, reducing the risk of fraud.
Samsung’s acquisition of LoopPay for a reported $250 million underscores the company’s commitment to establishing a strong presence in the mobile payments market. LoopPay’s technology is expected to play a crucial role in the development of Samsung Pay, providing the foundation for its MST capabilities.
As Samsung Pay prepares for its launch, the company is likely to focus on building partnerships with banks, credit card companies, and retailers to ensure widespread adoption of the service. By offering a secure, convenient, and widely compatible payment solution, Samsung Pay has the potential to become a major player in the mobile payments industry.
Source Ubergizmo
Latest Geeky Gadgets Deals
Disclosure: Some of our articles include affiliate links. If you buy something through one of these links, Geeky Gadgets may earn an affiliate commission. Learn about our Disclosure Policy.