LG Display Co Ltd. (ADR) (NYSE:LPL) is in the process of launching its own mobile payment service called LG Pay. The service is believed to be similar to Apple Inc. (NASDAQ:AAPL)’s Apple Payor Samsung’s Samsung Pay. LG Pay will initially launch in South Korea but it remains unclear whether it will roll out globally.
LG Display Co Ltd. (ADR)(NYSE:LPL) is throwing its hat in the mobile payment service ring, further crowding the field where customers are already becoming overwhelmed with options. The company is in the process of rolling out LG Pay, which will first be available in its native country South Korea, according to reports.
LG Display Co Ltd. (ADR)(NYSE:LPL) has partnered with KB Kookmin Card Co Ltd and Shinhan Card Co Ltd, the top two largest lenders in the country, to launch LG Pay. Apple’s Apple Pay partners include banks such as Bank of America Corp (NYSE:BAC) and retail stores like Starbucks Corporation (NASDAQ:SBUX).
It remains unclear whether LG Pay will be available outside South Korea. Moreover, details are still scant as when LG Pay will launch and how similar or different it might be compared to existing mobile payment services.
It is likely that LG Pay will take the nature of services like Apple Pay, Samsung Pay and Android Pay, whereby customer can use the service to pay for purchases online and in-store. Nevertheless, there are reports that LG Pay will be available in all models of LG smartphones. Apple and Samsung have limited access to their mobile payments to recent phone models only.
Mobile payment services are sprouting up rapidly in the recent times, primarily driven by the rise of e-commerce. Interest in more secure transaction is also driving the adoption of mobile wallets.Apple’s Apple Pay uses NFC-technology for secure transactions.
With an industry on a growth trajectory, LG Display Co Ltd. (ADR)(NYSE:LPL) may be interested in launching its mobile payment service overseas. However, if LG Pay goes global, the companywill face competition from providers such as Apple and banks that are also developing their own mobile payment services.