By Nupur Anand
NEW YORK, July 20 (Reuters) - Samsung Electronics on Monday launched its first U.S. co-branded credit card with Barclays, deepening its push into the financial services space in the country and signaling plans to broaden its offerings in the future.
The Samsung Galaxy Card, issued by Barclays and running on Visa's network, will allow users to apply, manage accounts, track spending and redeem rewards entirely through Samsung Wallet. The card offers 5% cash back on Samsung purchases and additional
rewards on Samsung Pay and other spending categories.
The credit card launch also puts Samsung in direct competition with Apple Pay, which dominates payment services in the U.S. The launch comes as technology companies and banks race to deepen ties between digital wallets and financial products, seeking to make smartphones the primary device for payments and money management, and both Samsung and Barclays want to capitalize on it.
Doug Villone, head of cards and partnerships at Barclays US Consumer Bank, said the digital card was aimed at creating a more seamless payments experience for customers, who increasingly manage finances through mobile devices rather than physical wallets.
Seventy percent of U.S. households have a Samsung device and nearly 30% of U.S. households own three or more of its products, said Sih Lee, executive vice president, head of North America Fintech Business, Samsung Electronics.
"The relationship that we're building with Barclays is a strategic and long-term relationship," Lee said. "So while we don't have everything all lined up today, we do have intention to collaborate and explore all avenues of different products and different capabilities that we can actually make available as it makes sense to our customers," he added, signaling the company's ambition to go beyond cards.
Barclays, which has been expanding its U.S. consumer business, also indicated it sees opportunities for broader cooperation.
"When we do sign relationships, we naturally look at ways we can expand those over time if it makes sense to consumers," said Villone, adding that the bank has been actively sourcing new partnerships.
Barclays has also been trying to grow its card business. In 2024, it acquired the General Motors credit card business, which allows customers to earn and redeem reward points on new Buicks, Cadillacs and other GM cars, including electric vehicles. The deal enabled Barclays to expand its card footprint in the U.S.
(Reporting by Nupur Anand in New York, Editing by Andrea Ricci )
