Samsung Pay vs Apple Pay: An Extensive Comparison for 2023

Contactless mobile payments are increasingly common, led by two major platforms – Samsung Pay and Apple Pay. Launching in 2015 and 2014 respectively, these services allow you to store your cards digitally to tap and pay from mobile devices.

With tap-to-pay adoption accelerating, understanding Samsung Pay versus Apple Pay is important in choosing the best digital wallet. This comprehensive guide examines the history, features, technology and real-world usage of each, that you make the most informed decision.

A Brief History

First unveiled in September 2014 alongside the iPhone 6 and iOS 8, Apple Pay marked a major milestone as one of the first mainstream contactless payment platforms.

Apple Pay was years in the making through secret development projects between Apple and payments partners like American Express, Visa and Mastercard. Few outside the engineering teams even knew it was an Apple initiative despite hundreds working on the project.

After the long-rumored Apple Pay finally launched, initial adoption was steady but trailblazers Samsung were determined to compete. They acquired a startup called LoopPay in February 2015 for $250 million. LoopPay‘s magnetic secure transmission (MST) tech emulates card swipes to work on older payment terminals.

Samsung quickly integrated this into their new service, announcing Samsung Pay just 6 months later in August 2015. And despite Apple‘s head start, Samsung Pay‘s MST tech worked at 90% of payment terminals, leapfrogging Apple Pay‘s NFC-only acceptance.

Apple Pay Launch: October 2014
Samsung Pay Launch: August 2015

But Apple Pay has since dominated market share thanks to Apple‘s vast iPhone installed base now covering over 1 billion users.

However, Samsung Pay still holds its own by targeting Android and Samsung loyalists. And the unique MST support remains a key advantage to this day.

Over 8 years after their launches, Apple Pay and Samsung Pay‘s technology and feature set have advanced dramatically. Let‘s examine how both mobile wallets work under the hood.

How Apple Pay and Samsung Pay Work

Both platforms rely on near-field communication (NFC) which allows data transmission between devices held close together.

NFC powers the contactless exchange when you tap your phone at checkout. It transmits your encrypted payment credentials to the NFC-enabled point-of-sale.

This is combined with tokenization for added security:

Tokenization translates your actual card details into a random virtual card number or "token"

The merchant receives this token instead to authorize your purchase. So your real card number is never exposed.

The NFC + tokenization combo enables fast, secure transactions without pulling out your physical wallet.

But Samsung Pay adds magnetic secure transmission (MST) as well. MST replicates the magnetic signal produced when swiping a credit card.

This allows Samsung Pay to work on older terminals without NFC – the terminal receives what looks like a normal card swipe signal.

So in summary:

Apple Pay
- NFC payments
- Tokenization 

Samsung Pay
- NFC payments
- MST payments (supports older terminals) 
- Tokenization

Now let‘s compare compatibility, availability, features and real-world usage.

Apple Pay vs. Samsung Pay: Detailed Comparison

	Apple Pay	Samsung Pay
Compatible Devices	– iPhone – iPad – Apple Watch – Macs (via macOS)	– Samsung phones & watches – Other Android phones (when paired with Samsung watch)
Available Platforms	iOS, watchOS, macOS	Android OS only
Payment Technology	NFC contactless payments	NFC + MST (supports older magnetic stripe terminals)
Reported Acceptance Rate	85% of stores with contactless terminal support	90%+ of payment terminals
Total Users	>43 million (U.S. only per 2022 report)	>16 million global
Market Share	~50% of all contactless wallet spending (as high as 95% in U.S.)	Just 4% of contactless wallet spending globally
Top Features	– Peer-to-peer payments – Strong biometric authentication – Deep iOS/macOS/watchOS integration	– MST tech for wider acceptance – Digital keys & IDs – Cryptocurrency support (via Samsung Wallet integration)
Security	End-to-end encrypted Tokenization Face ID/Touch ID required per transaction	Tokenization Biometric auth optional
Set Up Experience	Simple onboarding Easy account addition via iTunes settings	More complex Varies slightly across Samsung devices

Key Stats on Mobile Pay Adoption:  

% of smartphone users who have tried mobile pay:
- Samsung Pay: 13%    
- Apple Pay: 12%

% of in-store purchases made via mobile wallet (as of 2022): 
1.8% 
(45% of that is Apple Pay transactions)

Reviewing the data in context paints a picture of two heavyweights continuing to shape contactless payments:

Apple Pay dominates market share thanks to Apple‘s colossal iPhone installed base now crossing over 1 billion daily active users. Seamless integration with Macs and Apple Watches also boosts Apple Pay‘s profile.
Samsung Pay lags by users and transaction volume. But unique advantages like MST and later integration with Samsung Wallet for digital keys and vaccine cards keep it competitive for Android users.

Now let‘s analyze some key differences more closely.

Peer-to-Peer Payments: Apple Cash VS No P2P Payments for Samsung

A marquee feature for Apple Pay is Apple Cash – a peer-to-peer money transfer system similar to PayPal, Venmo or CashApp. This allows you to:

Send and receive money with friends and family
Split bills easily
Pay individual people directly from your Apple Cash balance

It brings added day-to-day utility beyond just payments, especially for users already embedded in the Apple ecosystem.

In contrast, Samsung Pay does not currently allow peer-to-peer money transfers. You cannot pay other Samsung Pay users directly or receive funds from them. It is solely focused on contactless merchant transactions only.

This gives Apple Pay the edge for money transfers, especially for friends, family, small businesses and side hustles needing to exchange funds casually.

Biometric Authentication: Apple Mandates It, Samsung Makes It Optional

Another area where Apple Pay pulls ahead on security is biometric authentication requirements per transaction:

Every Apple Pay purchase must be authorized with Face ID or Touch ID fingerprint.

Without this biometric 2-factor authentication step, the payment will not process. This protects against unauthorized use if your phone is lost or accessed.

Samsung Pay allows for fingerprint/facial login as well, but critically:

It does not require biometric auth to finalize transactions by default. There is just a device lock screen requirement instead.

So in this area Apple Pay offers stronger security assurances through required bio-authentication with your unique facial or fingerprint data.

Cryptocurrency Support: Samsung Integrates, Apple Doesn‘t

With Samsung Pay now subsumed into the new Samsung Wallet app, cryptocurrency capabilities come along for the ride.

Specifically, Samsung Wallet allows U.S. users to:

View cryptocurrency balances
Track 200+ coins and tokens
Make crypto to crypto conversions
Buy supported crypto assets directly

So Samsung effectively ties mobile payments together with crypto asset management which is a emerging use case.

Conversely, Apple Pay does not integrate any cryptocurrency features natively (though iOS apps provide plenty of crypto and NFT functionality otherwise).

For customers interested in both contactless spending and crypto utility, bundling digital currencies with Samsung Pay gives their wallet bonus points. It offers intriguing future possibilities as blockchain assets permeate finance.

But otherwise, crypto won‘t impact most users‘ mobile payment preferences currently.

MST Support: Samsung‘s Secret Weapon Against NFC Limitations

As highlighted earlier, Samsung Pay‘s usage of magnetic secure transmission (MST) is a potential trump card versus Apple Pay or Google Pay.

MST emulates the magnetic stripe signal when you physically swipe a credit card.

This means Samsung Pay can effectively "swipe" at terminals that lack NFC contactless hardware.

Compare this to Apple Pay and other NFC-only wallets which cannot transact unless the reader has near-field communication tech built-in.

Samsung proudly advertises MST allowing Samsung Pay to work at 90% of payment terminals in the U.S. However, some debate that claim as terminals increasingly replace swiping with more secure chip + PIN transactions.

But there is no question MST grants Samsung Pay flexibility to handle older terminals. This helps address the "NFC wasn‘t available here" issue users of other contactless wallets still occasionally run into.

For customers lacking newer payment hardware, Samsung Pay‘s backwards compatibility gives it an advantage Apple Pay cannot match. It also future-proofs Samsung Pay as vestiges of magnetic stripe terminals hang on across smaller vendors.

Ease of Use: Apple Excels in User Experience

Ease of onboarding and everyday use cases are vital for mainstream adoption. Here Apple Pay pulls far ahead of Samsung Pay when examined holistically:

Onboarding

Samsung Pay‘s card setup involves more steps and verification texts/calls to activate payments across Samsung phones.
Apple Pay instantly activates eligible cards you already added to Apple services like iTunes purchases. And adding new cards is very quick with automated verification in most cases.

Everyday Use

Apple Pay provides a consistent single wallet interface scaled across iPhone, iPad, Mac and Apple Watch.
Samsung Pay varies slightly in menus, settings or gestures depending on Galaxy phone model. This introduces subtle experience inconsistencies.

So in evaluating user friendliness, Apple Pay is hard to beat. It onboards new users faster thanks to Apple‘s tight hardware + software integration. And uptime is maximized by consistent operation regardless of your device.

These UI/UX nuances ultimately funnel more casual users towards Apple Pay versus Samsung Pay. It feels universally integrated into daily life rather than a bolted-on payment utility.

The Verdict: Apple Pay Is Still King of Contactless Payments

This Samsung Pay versus Apple Pay showdown reveals:

For mainstream consumers, Apple Pay remains the undisputed contactless mobile payment leader thanks to:

Leading market share – nearly 50% of all contactless transactions
Strong security assurions through mandated biometic authentication
NFC payments widely accepted at 85% of contactless terminals
Peer-to-peer money transfers uniquely through Apple Cash
Deep integration across Apple‘s ecosystem for a seamless experience

However, Samsung Pay remains extremely relevant especially for Samsung loyalists by providing:

Backwards compatibility for terminals without NFC using MST "card swiping" tech
Support across newer Samsung phones, watches and sometimes other Android devices
Emerging innovation like digital ID verification and crypto through Samsung Wallet

In most cases Apple Pay will suffice just fine as users‘ primary payment method given its rapid growth and general ubiquity. But Samsung Pay still fills a viable niche role with its proprietary features.

And contactless payments overall still represent less than 2% of retail transactions, so there remains tremendous upside for both giants to continue competing for tap & go market share in the 2020s fintech landscape.

FAQs

Is Samsung Pay being discontinued?

No. As of early 2023 Samsung Pay remains active with no plans of shuttering announced. Recent updates rolled Samsung Pay into the new Samsung Wallet app unifying payments, IDs, keys and crypto features.

What credit cards work best with Samsung Pay and Apple Pay?

All major issuers like Visa, Mastercard and American Express are supported by both. But Apple Pay accepts more bank-issued cards (over 6,000 banks) versus around 500 for Samsung Pay currently.

Is Samsung Pay safe to use?

Yes. Like Apple Pay and other contactless platforms, Samsung Pay utilizes tokenization to avoid exposing your actual payment card details. Payments must also be authorized by the terminal to process plus optional fingerprint login helps guard against unauthorized use.

Can I use Samsung Pay without a Samsung Phone?

You need at least one Samsung Galaxy device – usually a phone but sometimes a watch. However, with select Samsung smartwatches, other brand Android phones (non-Samsung) can also pair to enable Samsung Pay functionality. But a Samsung watch is still required as the intermediary.

Which has more users, Samsung Pay or Apple Pay?

As of 2022, Apple Pay reportedly has over 43 million users in the U.S. alone while Samsung Pay has around 16 million global users by comparison according to most data. So Apple Pay sees much higher transaction volume overall.

Summary: Evaluate Your Priorities Choosing Between Samsung Pay and Apple Pay

Contactless mobile payments provide convenience and security optimizing away from physical wallets. Samsung Pay and Apple Pay make use of NFC technology plus strong encryption to enable payments directly from smartphones and supported devices.

With 8+ years of advancement since launching just months apart, both services boast compelling features catering to Android versus iOS ecosystems. For most users Apple Pay pulls ahead based on simplicity, market share dominance and biometric security.

But Samsung Pay remains distinctly competitive boasting wider backwards compatibility and emerging wallet integrations. Cryptocurrency support also appeals to Samsung‘s generally more tech-enthusiast customer base.

Carefully weighing personal priorities around security, acceptance, supported devices and special features determines which contactless wallet makes the most sense for daily use. Tap to pay is only becoming more common – hopefully this extensive Samsung Pay against Apple Pay comparison helps steer you toward the right mobile money solution.