August 25, 2015
Android Pay, Google’s new mobile phone payment service, is expected to launch in the US on August 26, i.e., if the notice to employees at a McDonald's location is indeed true.
The pictures are from a post by Android Police which show how and what should be done by McDonald's managers and crew members to accept contactless payments.
Image: Android Police
A memo posted to Reddit by user BlackMartian also contains the same August 26th launch date for Android Pay.
Samsung Pay’s launch date is September 28 but is wrongly mentioned in the photo as August 21, which is when Samsung launched its devices (Galaxy Note 5 and Galaxy S6 Edge+). It’s likely that McDonald's has confused Samsung Pay's launch date with the launch of these devices.
Android Pay, acting as an API layer, would provide mobile payments capabilities for the billion plus Android smartphone users who already possess NFC-enabled Android smartphones. This gives Android Pay the opportunity to reach a far greater number of users than Apple Pay or Samsung Pay.
Android Pay, will not earn any transaction fees from credit card companies. This move might put pressure on Apple Pay which has been growing steadily in the US since its launch. This move might compel Apple to drop or lower its charges, which eventually means a lower margin per transaction for Apple.
Android Pay is an Apple Pay replica in many aspects. It includes tokenization, tie-ups with retailers, NFC capability and in-app payments but when it comes to volumes, all these don’t matter much in comparison. The market share of iOS devices in the US stands at 41% while that of Google’s Android is 53%.
The US payments market seems to become more competitive with new players joining the race. After Apple Pay, it now the turn for Samsung Pay and Android Pay to provide contactless payments services to US consumers.
Samsung announced that Samsung Pay will launch in South Korea on August 20 and in the US on September 28. Samsung Pay will work only on the Galaxy S6 models. Additionally, Samsung Pay makes use of MST (magnetic secure transmission) to enable payments at traditional magstripe readers as well.