“Samsung’s new mobile payments system could spur greater adoption of mobile payments than what rivals Apple and Google have been able to achieve thus far, Moody’s Investors Service said Monday,” Patrick Seitz reports for Investor’s Business Daily.
“It will debut in the U.S. on Sept. 28. It also plans to roll out the service in the U.K., Spain and China,” Seitz reports. “Samsung Pay will be installed in new handsets starting with the Galaxy S6 Edge Plus and Galaxy Note 5, which will go on sale in the U.S. and Canada on Friday. Samsung also will provide a software update including Samsung Pay for its current Galaxy S6 and S6 Edge phones.”
“Samsung Pay works with both MST (Magnetic Secure Transmission) and NFC (Near Field Communication) technologies, allowing it to be broadly adopted without retailers having to upgrade their checkout hardware. By contrast, Apple’s Apple Pay requires retailers to have NFC terminals,” Seitz reports. “Samsung Pay ‘will give Apple Pay and Android Pay a run for their money,’ Moody’s analyst Gerald Granovsky said in a report Monday. Samsung Pay ‘will work on nearly all existing credit card readers and will not require retail point-of-sale terminals to be upgraded to near field communication (NFC) capability. This will differentiate Samsung Pay from Apple Pay and Google’s Android Pay, which only work in locations where NFC terminals are turned on and the merchant has elected to accept NFC payments — at this point, a relatively small percentage of retail checkouts.'”
Read more in the full article here.
MacDailyNews Take: iCal’ed.
Moody’s analyst Gerald Granovsky’s operative phrase is “at this point.” In mid-October, less than a month away, the fraud liability on magnetic swipe transitions shifts from the credit card companies to the retailers in the U.S. Hence, stores will upgrade to terminals that accept cards with embedded chips or NFC payments like Apple Pay.
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