Klarna drops ‘Kosma’ from its open banking provider brand

Less than 18 months after launching, Klarna is letting go of the ‘Kosma’ part of its open banking brand.

Klarna Kosma, launched last April as a sub-brand of the Swedish BNPL giant, saw the company expand its open banking platform by connecting to more than 15,000 banks across Europe and the US.

Through a single API, Kosma provided financial institutions, fintechs and merchants in more than 27 markets with “essential connectivity”.

Now, according to Klarna, it is being brought directly under the Klarna corporate brand due to the success of the business.

“Since we launched in April 2022, our open banking business has grown tremendously,” a Klarna spokesperson said.

“Due to this impressive growth we have taken the decision to connect the brand even more closely with Klarna so the business unit will no longer operate under a separate brand, but under the Klarna corporate brand.”

According to Klarna, ‘Kosma’ will remain the name for the core B2B banking infrastructure service, while the business unit will be called  Klarna Open Banking & Bank Transfer.

The company said it has seen monthly transactions from other companies other grow by more than 200 per cent over the past year on the open banking platform.