Samsung Electronics has announced the acquisition of US mobile payments company LoopPay, signalling its intent to take on Apple in the emerging field.

LoopPay's system is "accepted at more locations than any competing service", said David Eun, head of Samsung's Global Innovation Centre, which led the takeover.

His remark reflected the fact that, unlike Apple Pay which was launched in October, LoopPay’s system uses the existing magnetic strip technology already found in most US credit card terminals, meaning that no additional investment by merchants is required.

Until now, users have had to buy a special phone case or external “dongle” to use LoopPay. But its technology’s incorporation in Samsung phones could dramatically increase adoption.– Copyright The Financial Times Limited 2015