As Klarna prepares for its long-anticipated IPO, its commitment to artificial intelligence is unmistakable. From personalised shopping experiences to automated customer service and instant credit decisions, Klarna is positioning itself not just as a payment’s provider, but as an AI-first fintech for the next generation of commerce.

But while Klarna leans into AI, are they well positioned to respond to consumers’ use of AI and agents in the shopping experience? Google’s recent launch of its Shop with AI Mode shows how major tech players are upending the traditional browsing and potentially cutting Klarna out of the buying cycle by favouring Visa and Mastercard card check-out options. 

It is likely to be consumers’ adoption of AI, and the extent to which Klarna can become a native part of the experience, that will probably drive Klarna’s next phase of growth, rather than its own use of AI in contact centres and development.

Instant Credit, Embedded at the Moment of Intent

So how will consumers buy using Agents? Instead of browsing retailer websites directly, consumers ask their AI Agent to find the best option by sharing preferences on size, brand preferences, delivery time etc.. The Agent will come back with the responses, along with the ability to purchase the item without going to the retailer’s website. 

This is the point at which Klarna will need to be offered alongside other forms of payment such as cards or face being cut out. At present the illustrations from AI providers from Google or OpenAI have focussed on card payments, rather than other payment mechanisms such as Klarna. Both Visa and Mastercard have made much of their ability to embed card payments in this kind of flow. We have not seen Klarna’s vision for this as yet, but how could it work? Once the consumer has selected their preferred product, the Agent could ask the following:

• “Klarna can split this over three interest-free payments.”
• “This retailer offers a limited-time financing deal—would you like to use that?”
• “Your budget suggests a six-month plan might work best. Shall I arrange it?”

Klarna already has the infrastructure to support these kinds of interactions. Its app offers browsing, purchase tracking, and flexible payments all in one. Its underwriting is fast, embedded, and increasingly powered by AI. It also already has integrations with both GooglePay and ApplePay who are likely to be the kingmakers in this Agentic AI world.

Klarna’s AI Playbook vs Consumer Appetite

Klarna’s strategy is clear: use AI to remove friction from shopping and payments. Its shopping assistant, “Klarna’s Copilot,” is designed to find, compare, and recommend purchases across retailers. AI handles customer queries, suggests promotions, and offers instant credit decisions based on real-time data.

But consumer demand is likely to be uneven. While some might welcome increased automation, others remain wary. Especially when it touches over into personal finance. It’s feasible that shoppers may ask:

• “Why is this option being recommended?”
• “Am I seeing the best deal, or just the one Klarna is promoting?”
• “What happens to my data?”

Klarna’s success in this next phase may depend less on how advanced its AI is, and more on how transparently and responsibly it’s deployed. In an agent-led future, trust becomes a strong differentiator.

Credit, Agency, and the AI Frontier

AI has the potential to make instant credit a conversational aspect of the consumer payments journey. Klarna is already offering real-time financing at the moment of purchase. But with that comes risk. Agents will need to explain recommendations clearly, avoid bias, and ensure consumers understand the terms they’re accepting.

Financial vulnerability is another concern. If AI assistants normalise credit as part of every purchase, how do we prevent overextension or poor financial decisions? And at what point does AI move from facilitator to advisor, triggering new responsibilities and regulations?

The Real Question Ahead of Klarna’s IPO

Klarna’s AI transformation positions it as more than a BNPL provider. It’s building infrastructure for agentic commerce. A future where machines assist in searching, buying and financing. But as that vision becomes reality, a more human question looms: do consumers want it? Are they ready for AI to shape how they finance their purchases, not just what they buy?

For Klarna, the IPO may mark a financial milestone. But long-term value will depend on whether its AI-first model resonates not just with investors but more importantly, with the everyday shoppers it’s built for.