Verizon Wireless is blocking the new flagship phone running Google Inc.'s Android software, the Samsung Galaxy Nexus, from running Google's in-store payment application, the Wallet.

The smartphone is the first to run a new version of Android, and is due to be released soon by Verizon. Examinations by Wired and other publications reveal that the international version of the phone has the chip necessary to run Google Wallet.

The previous model in the "Nexus" line, which Google uses to launch new software and features, is sold by Sprint and works with the Wallet.

But Verizon is part of a consortium of carriers that are planning its own payment application, and the company says its waiting to provide a wallet application until it can provide "the best security and user experience."