Samsung Buys Mobile Payments Startup to Take on Apple Pay

With Apple Pay beginning to gain some traction,
Samsung wants a piece of the mobile payments game.
The South Korean tech giant has agreed to buy Mountain
View, Calif.-based LoopPay , a mobile wallet service.
LoopPay says its technology "turns existing magnetic
stripe readers into secure, contactless receivers." The
company says its service has the potential to work in
about 90 percent of existing point-of-sale terminals.
The companies did not disclose the financial terms of
the agreement.
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As part of the deal, LoopPay founders Will Graylin and
George Wallner will work closely with Samsung’s mobile
division. It will be interesting to see if Samsung plans to
integrate LoopPay technology into its forthcoming
flagship smartphone, the Galaxy 6.
The digital wallet concept really has yet to catch on, but
is making progress. Since launching in September,
Apple's Apple Pay service has gained signed fair number
of partners, including a growing list of banks and credit
unions, as well as food and retail shops like McDonald's
and Foot Locker .
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Growth, Acquisitions