Samsung Electronics has finally today announced the launch of its flagship mobile payments service, Samsung Pay, in India, weeks after opening the registrations for early access.
The payment solution will work with Visa, MasterCard, American Express, Axis Bank, HDFC Bank, ICICI Bank, SBI Card and Standard Chartered Banka, mobile wallets such as Paytm and UPI, while Citibank India is a forthcoming issuer and its credit cards will be live on Samsung Pay shortly.
Samsung Pay supports both Magnetic Secure Transmission (MST) and Near Field Communication (NFC) which allows a user to send a magnetic signal from the smartphone to the payment terminal's card reader.
HC Hong, President, and CEO, Samsung Southwest Asia, said, "Samsung Pay is an example of how we continue to push the boundaries of innovations to make life simpler and better for consumers. I am confident Samsung Pay will redefine digital payments and contribute to Digital India."
Samsung Pay can be accepted at all places where your physical card will work and you just need to open the Samsung Pay app on the compatible phone, select the card, authenticate using a fingerprint or PIN and bring the phone close to the PoS terminal. Samsung's MST or NFC technology will send signals to the PoS machine to complete the transaction.
Currently, Samsung Pay is available on Galaxy S7 edge, Galaxy S7, Galaxy Note 5, Galaxy S6 edge+, Galaxy A5 (2016), Galaxy A7 (2016), Galaxy A5 (2017) and Galaxy A7 (2017) and will also be available on the Samsung Gear S3 Smartwatch shortly.
The Samsung Pay UPI solution is powered by Axis Bank and facilitates peer-to-peer (P2P) transfer of funds between bank accounts on a mobile platform instantly. This is an upcoming feature within Samsung Pay.
Amitabh Kant, CEO of Niti Aayog, said at the Samsung event that it is not just a revolutionary app but a "killer" app.
"India is a highly informal economy and the challenge is to make it into a formal economy," Kant added that if India has to become a $10 trillion economy, it has to move in that direction and Samsung Pay will aid in the digital movement.
Asim Warsi, Senior Vice President, Mobile Business, Samsung India. "With Samsung Pay, we give our consumers the smartest way to make digital transactions by far. Samsung Pay is highly secure through the signature KNOX Platform, fingerprint authentication, and tokenization. We have partnered with major banks and card networks to give our consumers the widest range of choices, and are working on bringing more and more partners on board soon."
Samsung Pay is fully available in 12 global markets including South Korea, the US, China, Spain, Singapore, Australia, Puerto Rico, Brazil, Russia, Thailand, and Malaysia.
Porush Singh, Country Corporate Officer, India, and Division President, South Asia, Mastercard, said, "As our society becomes increasingly reliant on mobile devices in their everyday lives, it is crucial for us to partner like-minded organizations who share the same goal of delivering seamless payment experiences to consumers, merchants and others in the payments ecosystem. Today's announcement brings us a step forward in the Indian government's cashless payments roadmap. We're excited to partner an industry leader such as Samsung to provide a digital payment experience that is both simple and secure for cardholders in India."
"Samsung Pay is different from Apple Pay as it uses NFC as well as MST, whereas the latter uses only NFC to make wireless transactions. The reach of Samsung Pay will be over 95 percent of all PoS machines in the country," Gizbot reported on Tuesday.