What We Know So Far About Samsung Pay

Scheduled to launch in the US on September 28, Samsung Pay’s grand entrance into the mobile payment space is rapidly approaching. While we don’t know all the details yet, we do have some information because Samsung Pay already launched in South Korea. Here’s what we know so far about this new way to pay:

1. Samsung Pay is off to a good start in South Korea.

Samsung Pay launched in South Korea on Aug. 20, and already the new payment solution is a popular way to pay. Around 80,000 credit and debit cards were registered within its first week. South Korean credit card industry experts suggest popularity is due to the simplicity of the solution and its ability to be used with most of the country’s pre-existing card readers.

2. Samsung Pay will use NFC and Magnetic Secure Transmission technology.

Like Apple Pay and Android Pay, Samsung Pay will use a NFC chip to communicate with compatible registers. However, Samsung Pay will also use “Magnetic Secure Transmission” technology, which is compatible with almost every payment terminal on the market. That said, the jury is still out on where it will be accepted. While Samsung Pay will be capable of communicating with most terminals, retailers and payment processing companies can choose whether to accept the new mobile payment technology.

3. Samsung Pay will be available on Galaxy S6, S6 edge, S6 edge+ and Note5.

Following Samsung Pay’s official US launch on September 28, the new mobile payment solution will come preloaded on the Galaxy S6, S6 edge, S6 edge+ and Note5. Rollout of Samsung Pay in South Korea began with the Galaxy S6 edge+ and the Galaxy Note 5, and has since expanded to include other models with the release of a free software upgrade.

4. Samsung’s new payment solution won’t replace your wallet.

Samsung didn’t create Samsung Pay to replace your wallet. The company knows all too well that such a feat is impossible. Not all payment terminals accept mobile payments and some shoppers prefer using a physical card. The true value is Samsung Pay’s ability to boost security using a tokenization system and its ability to replace traditional loyalty and membership cards—something we’re expecting from Android Pay and Apple’s iOS 9 release later this year.

5. Samsung Pay is designed to imitate using a real credit card.

Unlike Apple Pay and Android Pay, Samsung Pay is designed to mimic what it’s like to use a real credit card. Similar to a credit card, Samsung Pay users will swipe up from the bottom of their phone screen to activate the payment solution. Once activated, users can scroll left or right to select a card, and then use their fingerprint to authorize a payment.

6. Samsung Pay has a number of security systems in place.

With payment security top of mind, Samsung incorporated several security measures. Samsung Pay uses tokenization, Samsung KNOX and fingerprint authentication to bring greater security to its payments. In order to incorporate tokenization into its security stack, Samsung Pay joined the Visa Digital Enablement program, which gives the company access to Visa Token Service (Android Pay is also part of the VDEP program). VTS replaces confidential personal and account information found on plastic credit cards with digital identifiers that authorize payments without sharing account information.

7. Verizon isn’t on board with Samsung Pay right now.

Verizon has yet to declare support for Samsung Pay, which means the mobile carrier may not offer Samsung’s new payment solution when it officially launches in the US. Verizon’s hesitation is surprising considering big-name carriers including Sprint, AT&T and T-Mobile have already signed on to support the solution along with Bank of America, MasterCard and Visa.


What do you think about Samsung joining the mobile payments market? Send us a tweet @Cayan and let us know!


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