South Korea’s Tech Giant LG Electronics To Launch Its Own Mobile Payment Service ‘G Pay’, Competing With The Country’s Other Popular Tech Company Samsung

by Czarelli Tuason / Oct 27, 2015 11:49 PM EDT

LG Electronics, one of South Korea's tech giants, is reportedly working on their own mobile payment service called "G Pay" that the company will launch to compete with their rival's "Samsung Pay," as well as the "Apple Pay" and Google's "Android Pay."

According to Digital Trends on Tuesday, the mobile payment service was confirmed by an LG executive who said the platform will be announced at the LG V10 event, in addition to the G Pay trademark application in South Korea and the U.S.

"Applying for trademark in [a] foreign country indicates that it will start its business in detail," said a financial industry insider. "It shared and gathered information about South Korean mobile payment technologies with [a] couple [of] card companies."

LG is also reported to be collaborating with South Korean financial services to improve G Pay. And to adapt the contactless payment method being used in Europe and the U.S., the LG's mobile payment service may also utilize near field communication (NFC) to connect cash registers to mobile or wearable devices.

Tech Times noted on Wednesday that the tech giant has already conducted tests with their G Pay using the LG G4 and the Watch Urbane in collaboration with Cashbee, a local prepaid provider.

Apple Pay and Android Pay were already pioneers in the use of NFC in mobile payments platforms, which could be beneficial to LG as they no longer have to market the feature to users, or detrimental in the uniqueness aspect.

"A possibility of accepting global technologies just like Samsung Electronics and Loop Pay cannot be ignored," said an executive at a credit card company. "It will probably choose versatile mobile payment technologies that allow IC chips to be linked to G Pay."

Users are now expecting the arrival of G Pay by the end pf the year, possibly with the launch of the LG G5 smartphone, similar to how Samsung launched Samsung Pay with the Galaxy S6.