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LG is reportedly looking to enter the mobile payments market with a service dubbed "G Pay." The payment service would presumably work across the company's portfolio of Android-powered smartphones and Android Wear smartwatches, competing with existing services such as Samsung Pay and Android Pay.

According to ETNews, LG recently applied for a G Pay trademark in Japan, Korea and the United States. The company apparently gained interest in the space after Samsung launched Samsung Pay, though LG's service won't be able to offer the same kind of mobile transactions. Samsung Pay takes advantage of NFC in addition to magnetic stripe terminals, the latter of which is a unique service originally developed by LoopPay, which Samsung acquired last year.

ETNews said LG has been in touch with "South Korean financial businesses" since the beginning of this year and has been piloting mobile payments with a company named Cashbee in South Korea. "Most people believe that LG Electronics' mobile payment solution, which focuses more on 'second-tier strategy' than early preoccupancy of markets, will have wider payment range and be more versatile than Samsung Pay," ETNews said. "Industries are putting more importance on USIM-based payment systems including NFC technologies rather than Samsung Pay's [magnetic stripe] method."

The report did not indicate when LG plans to launch its service.