Klarna is entering the mobile market with an unlimited phone plan, beginning in the US and soon followed by a launch in the UK, Germany, and other countries.
The mobile plan will offer uncapped, unlimited 5G data, talk, and text for $40/month, with coverage on the AT&T network. Premium and international plans are expected to roll out later this year.
That's cool I guess, but does it come with a Gold Phone?
Klarna CEO Sebastian Siemiatkowski (or potentially his AI avatar) said:
“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. Consumers already know and love Klarna’s super smooth services and now, with one tap in the Klarna app, they’ll be up and running with their new phone plan — no hassle, no hidden fees, just great value.”
Klarna says that its research shows that half of Americans believe “switching phone plans is too difficult” — so it's promoting how effortless it is to transfer their number and activate their new plan within the Klarna app. However frankly, you could say the same of most MVNO-powered mobile networks, which are mostly all app-based solutions.
If you're unfamiliar with Mobile Virtual Network Operators (MVNO), they essentially allow any company to launch their own mobile network using major carriers' infrastructure. This is how Ryan Reynolds' Mint Mobile, Google Fi, and most recently Trump Mobile operate.
The upside for Klarna is… one more channel to monetize its 25M customers in the U.S. through its existing app. It's pretty smart.
The upside for customers is… I'm still trying to figure that one out. There are more than a handful of MVNO carriers that offer unlimited plans for $40/month or less. Why switch to Klarna? The company has yet to offer a compelling reason, but maybe one is coming soon, such as wireless customers tapping into additional rewards and incentives through the rest of Klarna's network.