Even Klarna is launching a mobile phone service now

Klarna, the buy-now-pay-later service, is launching a mobile phone service. The $40 per month phone plan is launching in the US in the “coming weeks,” offering unlimited 5G data, calls, and texts on AT&T’s network — making it yet another MVNO in an increasingly crowded space.

MNVOs, or mobile virtual network operators, are companies that sell phone service on another carrier’s network. They’ve become more popular in recent years, and include brands like Mint Mobile, Visible by Verizon, Cricket Wireless, Xfinity Mobile, and now the Trump Organization’s new phone service.

Klarna says its service is powered by Gigs, a firm that’s supposed to make it easier for companies to launch their own MVNOs. Users can sign up directly from the Klarna app with no contracts or hidden fees. Customers can also transfer their phone number to the service or get a new one with “instant eSIM activation.”

Klarna’s primary business is its buy-now-pay-later (BNPL) service, which lets customers split purchases into four separate payments. A study from the Consumer Financial Protection Bureau from earlier this year discovered that frequent BNPL users have more debt than people who don’t use the services at all, while a recent survey from LendingTree found that 41 percent of BNPL users said they paid late in the past year. Last month, the Trump administration dropped the CFPB’s plan to subject BNPL companies to stricter rules.

But with the launch of a mobile phone service, it’s clear Klarna wants to move beyond just offering BNPL. On Wednesday, Klarna CEO Sebastian Siemiatkowski told CNBC that he wants the app to serve as a “digital financial assistant” that uses AI to detect when you’re overpaying for services and “offer you both a suggestion of a better price model, but also with a click, implement that and make it a reality.”

For now, users in the US can join the waitlist for Klarna’s mobile phone service. It’s planning to launch the service in the UK, Germany, and other countries “soon.”