Samsung Electronics has acquired LoopPay, a Mobile Payment startup, which is seen as a move to take on Apple’s Apple Pay service, which has been gainining momentum lately. LoopPay says its patented technology called Magnetic Secure Transmission “turns existing magnetic stripe readers into secure, contactless receivers.” The company says its service has the potential to work in about 90 percent of existing point-of-sale terminals, which translates in it being accepted in over 10 million stores worldwide.

It would be highly advantageous for Samsung to bring to the market an easily accessible, compatible and reliable service for merchants to use before its competitors can. LoopPay founders Will Graylin and George Wallner are working closely with Samsung’s mobile division, and we hope that it can be Integrated into the Tizen based Samsung Z1 and also future Samsung Tizen Smartphones.

The companies did not disclose the financial terms of the agreement.