Samsung Pay’s profitless model gets a ‘failing grade’ but it provides free insight into consumer behavior

“According to a new Korean report, Apple Pay competitor Samsung Pay reportedly had a net loss of $16.8 million (20.167 billion KRW) in its first year on the market,” Jack Purcher reports for Patently Apple. “Analysts view this as being close to a ‘failing grade’ if viewed on its business performance alone.”

“The report further noted that “Currently Samsung Pay Corporation is not creating profits from any business models. Samsung electronics formally announced that it has no plans in imposing any commission on using Samsung Pay,” Purcher reports. “However, in exchange for its free service, Samsung is reportedly securing and analyzing data on consumers’ behavior through Samsung Pay to better understand trends on purchases of every kind.”

“The ‘Big Data’ will assist them with future marketing campaigns and R&D,” Purcher reports. “Whether they’re giving their customers an option to opt out of this kind of data sharing is unknown at this time.”

Read more in the full article here.

MacDailyNews Take: Wake up Android settlers!

I’m speaking to you from Silicon Valley, where some of the most prominent and successful companies have built their businesses by lulling their customers into complacency about their personal information. They’re gobbling up everything they can learn about you and trying to monetise it. We think that’s wrong. And it’s not the kind of company that Apple wants to be… We believe the customer should be in control of their own information. You might like these so-called free services, but we don’t think they’re worth having your email, your search history and now even your family photos data mined and sold off for God knows what advertising purpose. And we think some day, customers will see this for what it is. — Apple CEO Tim Cook, June 2, 2015

[Thanks to MacDailyNews Reader “Dan K.” for the heads up.]


  1. Samsung is for stupid black people too poor to pay their rent but somehow someone at samdung thinks they will pay with Samsung Pay. For everyone else whomatters there is the White Apple.

      1. Meant to click on Reply and registered 1 star. I had already given you five. I just wanted to say that, while this guy may not be a racist (I believe he likely is), he is very likely a Donald Drumpf supporter.

  2. I so hope Trump gets elected, I honestly do. Both the loony left AND establishment GOP are absolutely terrified of him.
    It’s so entertaining to watch those wankers squirm.
    One star this if you agree.

        1. I certainly don’t deserve this pile of human garbage as presidential candidates. But maybe this is what the nation deserves after decades of abuse, UNeducation, consumer culture, bigotry, juvenile political party fights, corporatocracy, WallNut Street manipulation, lies, cheating, stealing, pomposity, egotism, over-compensating for innate national insecurity.

          It’s all too much for me to comprehend. I just know it’s self-destructive craziness.

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