Fintech Company Fires 700 Employees As One AI Bot Can Do Work Of 700 Humans!


Mohul Ghosh

Mohul Ghosh

Feb 29, 2024


Swedish fintech company Klarna has stated that the AI-powered virtual assistant it deployed using OpenAI roughly a month ago is undertaking customer service equivalent to the workload handled by 700 full-time human agents. Klarna claims that the AI chatbot is already engaging in over 2.3 million interactions.

Fintech Company Fires 700 Employees As One AI Bot Can Do Work Of 700 Humans!

The firm estimates the automation using contemporary deep learning techniques to improve overall profits by up to $40 million in 2023 alone as it reduces headcount expansion needs despite rising volumes. But technical experts using the tool find its capabilities quite basic currently.

AI Bolsters Bottomline, Will Shrink Headcount

CEO Sebastian Siemiatkowski has long emphasized Klarna’s pivot towards AI and automation for gaining efficiency as it curtails overall corporate staffing requirements in the long run, beyond the 700 layoffs initiated in early 2022 to cut costs.

The company is no longer recruiting for any non-engineering roles, with AI projected to meet assistance demands of a growing consumer base following initial learning and refinement. Natural attrition will also contain headcount as AI substitution effect kicks in.

Matching Satisfaction Levels

But independent user reviews on Klarna’s AI assistant released for public customer support reveal it still needs upgrades as concerns and tickets get quickly transferred to human counterparts when complexity emerges during resolutions.

The chatbot’s true evolution potential remains ambiguous beyond Klarna’s claims on cutting support costs via automation matched with equivalent satisfaction as yet.


Mohul Ghosh
Mohul Ghosh
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