Klarna is the latest financial services provider to enter the mobile market, working with Telecom-as-a-Service platform Gigs to launch a phone plan in a host of major markets, beginning with the US.
BNPL giant Klarna is offering its 25 million active users in the US a single plan, including uncapped, unlimited 5G data, talk, and text for $40 a month, with coverage on the AT&T network.
Citing research showing that half of Americans believe switching phone plans is too difficult, Klarna says its users can transfer their existing number, or get a new one, and activate their phone plan in a few taps within the Klarna app, without any phone calls, paperwork, or store visits.
Premium and international plans will roll out later this year, as well as services in the UK, Germany, and other markets.
Sebastian Siemiatkowski, CEO, Klarna, says: "Klarna has saved consumers time and money, and reduced financial worry for over 20 years. With mobile plans we’re taking that one step further, as we continue to build our neobank offering."
The offering comes with an AI twist. "If we have information that suggests you are overpaying for your carrier subscription or your data... [we'll] offer you both a suggestion of a better price model, but also with a click, implement that," says Siemiatkowski.
Hermann Frank, CEO, Gigs, adds: "Now, consumers can expect a seamlessly integrated mobile experience that bundles premium connectivity with financial tools, all through the apps they already know and love.”
Klarna is following in the footsteps of German neobank N26 and Revolut, who have eached dipped a toe into the water with their own phone plans for subscribers.