Samsung Pay And Apple Pay - Competitor Or Alike?

Samsung launched Samsung Pay at the Mobile World Congress event held in Barcelona. Apple Pay didn't complete its one year before that only Samsung gives a clear response with Samsung Pay. Already in the month of February Samsung announced its acquisition of LoopPay so its like we have hints about it.

Both are sounding alike, appearing quite similar too but both have their unique features, lets have a look.

Samsung Pay Vs Apple Pay


Similarity

Apple Pay and Samsung Pay both are only compatible with the devices Apple and Samsung green light, respectively.

Samsung Pay will be compatible with the Samsung Galaxy S6. Though other phones in its lineup include NFC -Near Field Communication (with right combination of other hardware, could secure mobile payments), Samsung did not mention backward compatibility. Which includes Gear smart watches - it will not be compatible at launch.

Apple Pay is compatible with iPhone 6 and iPhone 6 Plus because only these two phones include NFC as well as a Secure Element Chip. Apple Watch will work with Apple Pay, moreover watch includes NFC. Details of using watch to enable Apple Pay on NFC-free devices have yet to emerge.

Samsung Pay


Safety

Now a days many consumers are replacing their wallets with their smartphones, security becomes very important factor in the adoption rate of mobile payments. 

How much secure Galaxy S6 Secure Element is, no clue is there except that is supplied by Infineon, a German manufacturer. Infineon's chips are built with hardware based security mechanisms, how these mechanisms play out this thing is not clear yet.
Samsung Pay safeguards access to your mobile wallet by requiring a fingerprint for each transaction. Fingerprint scanning is the most secure way to prevent unwanted device access without the use of a complex password.

If we talk about Apple Pay, it also has the Secure Element but less information is available about it. Apple Pay also requires a fingerprint at the time of each transaction.

Samsung Pay MST NFC Barcode


Consumer Data

The data collected via transactions like location and phone usage habits is very precious. Tech giants like Apple & Samsung should take care of this tracking and usage of this data.

Samsung tracking and storing of data is still unclear. When asked, Samsung did not comment, the company will let us know more around the launch of the service this summer.

Whereas Apple is very direct about this thing. The company does not track or store your purchase data nor does it supply retailers with the data.


Time

If payment via mobile is time consuming and tricky then its not good for the consumers. People want things to be done without consuming their time and with ease of use.

At present reviews are not their of Samsung Pay, it's already requires a couple steps more than Apple Pay. In Apple Pay, you tap your phone to the payment terminal and scan your finger -- even if the phone is locked. This is a huge win for Apple Pay, as there is very little friction during a mobile payment transaction.

With Samsung Pay, you first have to choose your credit card, scan your fingerprint and then tap the phone to the terminal. And unlike Apple Pay, we don't yet know if you'll have to unlock your device before completing these steps.

Statistics


Samsung Pay - USP

According to current scenario mobile payments are very popular as long as you are using them. In the US, it's estimated that less than 300,000 merchants are equipped to accept NFC-based mobile payments, which is just a small fraction of the millions of retailers nationwide.

That's not an issue in Europe, where chip-and-PIN terminals are ubiquitous.

By 2016, the US could be on the same track. Card issuers like Visa will be required to use the more secure chip-and-PIN cards, forcing retailers to adopt more modern credit card terminals. When that happens, it's likely that most of those terminals will also be NFC-ready.

Until then, Samsung Pay will work in a lot more places. With the acquisition of LoopPay, the company integrated a technology that allows the phone to work with NFC-free magnetic stripe card readers. Meaning, you can use a Galaxy S6 with almost any old terminal.

Apple Pay

How will Apple respond?

Short answer, it might not even have to. LoopPay’s MST technology might be yesterday’s news before Samsung Pay even gets off the ground. The federal government is requiring retail outlets to adopt fancy new NFC-equipped Europay, MasterCard and Visa terminals by October, which would all but neutralize Samsung’s advantage.


Apple Pay - NFC

What does this mean for Apple Pay?

That’s the billion-dollar question. Apple Pay is off to a rolling start, thanks in large part to Apple’s marketing efforts and brisk sales of the iPhone 6, and it seems as though digital, contact less payments are on the verge of becoming somewhat mainstream. Even if Samsung sells as many phones as Apple did (which, let’s face it, is unlikely), it certainly won’t hurt Apple Pay’s expansion. If anything, it’ll help—the more people use phones to pay for things, no matter if it’s through Apple Pay, Samsung Pay, or Google Wallet, it puts more pressure on stores and banks to support the concept. And that’s good for everyone.

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I'm a full time blogger making a living from TechFools blog. I have recently started writing about new technology, gadgets and upcoming devices. I like connecting with real people and helping them to know about new technology and updates related to it.
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