LG will reportedly launch a new Nexus phone equipped with an Android-based payment system sometime in October. LG Electronics is anticipated to showcase Google's next Nexus smartphone in October, according to unnamed sources quoted by Yonap News Agency. The speculation is that LG's Nexus model will have Android M, the latest version of the Android operating system, which will have Android Pay preinstalled.

Google has released six Nexus smartphones so far, joining hands with not only LG but other players, including Samsung and HTC Corp.

Huawei is also being tapped as a producer of the upcoming Nexus smartphone.

Apple kicked off its Apple Pay service in October last year, which is available in the North American and European markets. It is set to reach the Chinese market this year.

The Samsung Pay service, which is currently on a pilot run, is also expected to be officially available starting this month, presumably around the release of Samsung's next phablet, a cross between a smartphone and a PC, scheduled for next week.

Google's payment system supports only near field communication (NFC) technology, just like Apple's Apple Pay, other industry watchers expect Samsung Pay may still take the lead, as it also supports magnetic secure transmission (MST) and bar code technologies.

The MST technology is significant as it is compatible with conventional credit card devices, which means it can be used in a wider number of shops compared with Apple Pay.

LG gains NSA security certification for G4

Seperately, LG announced Thursday that its flagship G4 smartphone has received NSA certification for US government use in managing classified information, clearing the way for the South Korean tech firm to supply US government agencies.

The G4 comes with major security features made by LG, including the Knock Code security lock and Kill Switch. The South Korean tech giant also offers GATE enterprise security solution for the devices. LG GATE is an enterprise-grade technologies package that provides secure communication for IT managers and employees, the company said.