Aimed at catching up with its competitors Samsung and Apple in the mobile payment service domain, LG has officially announced to launch its own such service named LG Pay in June. The new payment service will be offered through its flagship smartphone LG G6 which made its debut last month in Mobile World Congress event and entered the South Korean market this month on March 10th.
In the making for over a year now, LG Pay will be finally brought to the table in June by LG Electronics which has been working closely with US Dynamics Inc., a global payment solution company, to quicken the launch process.
LG Pay will be based on a new tech, different from the existing Samsung Pay’s Magnetic Security Transmission (MST). Instead it will use US Dynamics’ Wireless Magnetic Communication (WMC) tech on LG Pay. Using the new tech, payments can be made via existing credit card readers through a magnetic signal from the phone.
“Dynamics’ WMC solution is the leading technology in the mobile payment industry,” said Jeff Mullen, CEO, Dynamics. He added, “We expect LG Pay to be a viable technology to succeed the next generation mobile payment services market.”
“Dynamics is a strategic partner with the most advanced technology in the mobile payment field,” said Kim Hong-joo, general manager of product planning division at LG Electronics. “We will do our best to offer more benefits to consumers through LG Pay,” he added.
LG Electronics is in talks with eight credit card companies in Korea out of which seven have decided to participate in the service.
In addition to offline payments, LG plans to expand LG Pay functions with a variety of payment and financial services such as online payment, membership and banking services.