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👋 Hey, this is Ben with a 🔒 subscriber-only issue🔒 of Ben’s Bites Pro. A weekly newsletter covering how businesses are using AI.

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In today’s post, I’ll cover:

  • Klarna’s journey with AI - how they (very) quickly focused on being ‘AI-powered’ internally and in their product

  • Their recent Annual Report’s mention of AI and how it’s changing their business

  • AI’s impact on taking jobs at Klarna

I received an anonymous tip from an ex-Klarna employee in December 2023:

Fast-forward to today:

Those numbers really are something!

Some maths from folks on Twitter (X) suggest that 2.3M conversations with an average of 4 replies put the cost at delivering those messages could be ~$80k - $120k.

The CEO confirmed that it has required an investment of about $2-3M to create. So it’s unknown whether the cost of delivering those messages is included there or if it was just the cost to build.

The $40M in profit improvement is due to the difference in budgeted spending using their customer service provider with 3000 agents against the 700 less they need.

He also confirmed that:

The AI Assistant works by leveraging any content available on the website plus any other content the Klarna team added as a knowledge base. If a conversation doesn’t get a satisfactory reply, they create them.

This method is how many companies are building their AI support bots, including Deel which I covered previously199.

We’ll dive into more numbers and the consequences of Klarna’s AI focus below.

Klarna’s journey with AI


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