Klarna Enters US Mobile Market with 25M-User Advantage

Klarna, the Swedish fintech company best known for its Buy Now, Pay Later services, has entered the US mobile telecommunications market with a new unlimited phone plan.

The move is a strategic step toward building Klarna’s neo-bank ambitions, adding mobile services to a platform already used by over 25 million active customers in the United States. Klarna reports an industry-leading Net Promoter Score of 81, reflecting strong user satisfaction.

The mobile offering is integrated directly into Klarna’s existing app, allowing users to purchase and manage their plans digitally. 

The service features unlimited 5G data and talk and text for US$40 per month, running on AT&T’s network infrastructure. It includes instant eSIM activation, with options for number porting or receiving a new number without requiring phone calls, paperwork or in-person visits.

Sebastian Siemiatkowski, Klarna’s CEO and Co-founder, commented on the expansion:

“We’ve 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.”

Research-led market entry

Klarna’s decision to venture into telecommunications follows consumer research indicating that 50% of Americans consider switching phone plans overly complex.

It identified an opportunity to simplify the process through an entirely app-based approach, eliminating common friction points like prolonged customer service interactions and hidden fees.

Unlike traditional mobile carriers, Klarna’s offering includes no activation or cancellation fees. Activation takes just a few taps within the Klarna app, offering users immediate access to mobile service.

The frictionless model aims to increase adoption and deepen customer engagement within Klarna’s broader financial ecosystem.

Strategic infrastructure partnership with gigs

The mobile service is made possible through a partnership with Gigs, a telecom-as-a-service platform that supplies the infrastructure required for mobile virtual network operators (MVNOs).

Rather than building its network, Klarna leverages Gigs’ APIs and backend systems to offer mobile services under its brand, avoiding the need for telecommunications licensing or spectrum access.

Hermann Frank, CEO and Co-founder of Gigs highlighted the strategic nature of the collaboration, stating, “Klarna’s mobile launch marks the beginning of a new era for connectivity.

"The service represents a radically better experience for US consumers, and we’re proud to power it with Gigs’ operating system for mobile services.”

The model has gained traction among fintechs looking to expand into adjacent markets. By integrating telecom offerings into existing financial apps, companies like Klarna can enhance user retention and open new revenue streams while providing added value to their customer base.

Expansion plans in the UK and Germany

Following the US rollout, Klarna has confirmed plans to bring its mobile service to the UK and Germany. Premium and international roaming plans are expected to follow in 2025, although detailed pricing and launch timelines have not yet been released.

Its expansion comes amid growing pressure on traditional telecom carriers as alternative providers and digital-first platforms reshape consumer expectations. Klarna’s advantage lies in its established app ecosystem and large user base, allowing it to scale rapidly compared to standalone MVNOs.

As the lines between fintech and telecom continue to blur, Klarna’s entry into mobile services marks a defining move in the evolution of financial platforms seeking to offer all-in-one lifestyle solutions.

Explore the latest edition of Mobile Magazine and be part of the conversation at our global conference series, Tech & AI LIVE and Cloud & 5G LIVE. Discover all our upcoming events and secure your tickets today.

Sign up to receive the Mobile Magazine weekly newsletter.

Mobile Magazine is a BizClik brand​​​​​​​