Same in Norway, but product is called Vipps. It's slower to use for payment than contactless (you have to scan a QR-code if paying in shops), but it's so much easier for everything else than bank transfer and much cheaper and easier for pop-up shops than cash and any kind of card reader.
And of course Denmark has MobilePay, which unfortunately is owned by a single bank: Danske Bank. But I guess the other banks are fine with not competing against MobilePay.
That was true but isn't anymore. MobilePay is now part of a Norwegian company, Vipps, which is owned by a consortium of Norwegian banks (65% ownership), Danske Bank (25%), and Finnish OP Financial Group (10%).
