LG delays the launch of its mobile wallet until next year in its home country of South Korea. The company cited problems with the testing of its White Card. Samsung Pay, however, has a head start and has been gaining traction since 2015. Will expected rapid adoption rates help LG Pay in 2017?
LG Electronics continues to lose ground to its competitors and has once again delayed the launch of its mobile wallet, LG Pay.
Originally, the wallet was to be introduced with the new LG V20 phone, which will be launched in the company’s home nation of South Korea at the end of September. According to Business Insider, LG is having problems with White Card integration, a physical card that links debit and credit card information to the NFC. The information is transferred from the phone to the White Card, and the White Card stores it for use with any terminal. TechnoBuffalo reported that LG had not yet filed for regulatory approval and was experiencing errors in testing.
LG’s solution is a little more secure than Samsung’s, but it is less efficient.
In addition to the LG White Card’s ability to connect to a smartphone over NFC and store debit and credit card accounts, it is also slated to feature a magnetic stripe and chip, making it possible to pay anywhere. The LG Pay card’s extra layer of security should also allow it to work at ATMs.
Meanwhile, Samsung Pay is stealing the show and has 2 trillion transactions under its belt since its launch in 2015. This is bad news for LG Pay because consumers tend to be loyal to payment methods, and users of Samsung Pay may be unlikely to switch to LG Pay. However, the number of new users of mobile wallets is expected to soar in the coming years as consumers become attracted by mobile wallets and in-app payments.
Depending on the scale of mobile adoption, LG Pay might be able to make up some ground.
We’re always on the lookout for opportunities to partner with innovators and disruptors.
Learn More