Klarna Announces Hiring Spree For Poland Tech Hub Expansion
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Klarna has rolled out a new technology center in Warsaw, showing the city’s growing name as a place for tech growth. The firm said it plans to hire over 100 engineers in Poland by 2025, using the strong tech and AI talent in the area.
Sebastian Siemiatkowski, Klarna’s co-founder and Chief Executive Officer, called Poland Europe’s next big tech leader. He shared that Warsaw’s great engineering skills, lively startup culture, and useful location make it the best place for the company’s new tech hub. He also said the Warsaw center will be a key part of Klarna’s bigger plan to lead the way in using AI.
The Company Aims To Cut Its Team Size By Half With More AI Use
Siemiatkowski has praised the value of AI before. He explained that the firm’s AI assistant now does the work of 700 people. It has cut the time to solve problems from 11 minutes to just two while keeping the same customer happiness levels as workers.
Over the past year, the company has reduced its team from 5,000 to 3,800 by letting staff leave naturally. With most Klarna workers already using AI daily, Siemiatkowski expects even bigger cuts, hoping to reduce the team by half.
The new tech hub’s launch came as Klarna shared its second profitable quarter in a row. The company reported a net income of SEK 216 million in Q3, a 57% rise from last year.
Siemiatkowski said the company is back to growing and earning like before. He spoke about new deals with Worldpay, Google Pay, Apple Pay, and Adyen. These deals help Klarna get closer to being in every store checkout. With the holidays coming soon, Klarna hopes its AI tools will help people save time and money.
Klarna is also growing in the banking space. Its new product, Klarna Balance, created for spending and saving, gained 1.6 million users in three months. Klarna Cashback has given users almost $5 million, adding the rewards to their balance accounts. These offers helped boost merchant sales by up to 30%, growing sales and partner links.
Klarna Launched A Buy-Now-Pay-Later Gift Card Store In The UK
In the UK, Klarna partnered with Blackhawk Network to open the first buy-now-pay-later gift card store. UK shoppers can now buy gift cards from brands like Airbnb, Fortnite, Adidas, Playstation, IKEA, H&M, Deliveroo, Wagamama, Uber, and Currys through the Klarna app.
The Gift Card Store lets users send cards easily to loved ones, with options to add personal messages and set delivery times. The UK gift card market is valued at £7 billion and could grow to £9 billion by 2025, with digital cards making up most of this.
The store launched in the US last year and is planned to expand to more European countries by the close of 2024.
Raji Behal, Klarna’s head for western and southern Europe, said gift cards are a big part of gift-giving in the UK and help businesses grow. Behal added that Klarna is excited to show UK shoppers the Gift Card Store before Christmas.
