Samsung Phases Out Wallet in Favor of Samsung Pay
What you need to know about Samsung's new credit card killer.
— -- Samsung Wallet is shutting down as the company prepares to make way for Samsung Pay.
The South Korean electronics company notified users of Samsung Wallet, a passbook for loyalty cards and coupons, that it will be phased out on June 30.
"We have tried to make Samsung Wallet a successful service that would help users throughout their daily lives and help our partners reach their customers in new ways," a message on the Samsung Wallet website said. "Unfortunately, the usage rate of Samsung Wallet was not what anyone expected."
Samsung said its Apple Pay rival, called Samsung Pay, will debut sometime this summer. The company hasn't provided a release date. However, the payments system builds on LoopPay technology that Samsung gained when it acquired the payment company in February.
While Apple Pay requires participating merchants to have Near Field Communication readers, Samsung said its contact-less payments system can be used anywhere credit cards are accepted, allowing users to simply swipe their phone at the point of purchase to make a payment.
Samsung said it plans to introduce Samsung Pay first in the United States and South Korea.