Klarna vs PayPal: Founders, CEOs and History
Klarna was founded in 2005 by Sebastian Siemiatkowski, Niklas Adalberth, Victor Jacobsson and is led by Sebastian Siemiatkowski. PayPal was founded in 1998 by Max Levchin, Peter Thiel, Luke Nosek and is led by Enrique Lores.
Company facts
Founders
Klarna
Sebastian Siemiatkowski
Sebastian Siemiatkowski, born in 1981 in Sweden to Polish immigrant parents, co-founded Klarna (originally Kreditor) with Niklas Adalberth and Victor Jacobsson in 2005.
Niklas Adalberth
Niklas Adalberth co-founded Klarna in 2005 with Sebastian Siemiatkowski and Victor Jacobsson and helped run the business during its expansion as Deputy CEO.
Victor Jacobsson
Victor Jacobsson co-founded Klarna in 2005 with Sebastian Siemiatkowski and Niklas Adalberth.
PayPal
Max Levchin
PayPal possesses arguably the most well-known, mythological, and influential founding story in the entire history of Silicon Valley, famously creating the 'PayPal Mafia', a concentrated group of effective, idiosyncratic founders who went on to literally build…
Peter Thiel
Peter Thiel served as an early strategic leader and CEO during the period when PayPal chose payments over broader online banking.
Luke Nosek
Luke Nosek co-founded Confinity with Max Levchin and Peter Thiel in 1998 and led marketing and strategy in PayPal's early years.
Elon Musk
Elon Musk founded X.com in 1999 as an online bank after selling Zip2. X.com merged with Confinity in March 2000, and Musk served as CEO of the combined company until the board replaced him with Peter Thiel later that year.
CEOs and their tenures
Klarna
- Niclas Neglén
Chief Financial Officer
CFO and earnings-call spokesperson alongside the CEO; in August 2026 Fortune reported that Klarna planned to base its next CFO in New York.
Source - Sebastian Siemiatkowski2005–present
Co-founder and Chief Executive Officer
Has led Klarna since its founding, growing it from a Stockholm invoice startup into a $3.5 billion-revenue public company.
Source - Niklas Adalberth2005–2015
Co-founder, former Deputy CEO
Later founded the Norrsken Foundation, which supports impact-focused entrepreneurs.
Source
PayPal
- Alex Chriss2023–2026
President and Chief Executive Officer
Joined from Intuit in September 2023 after Dan Schulman. Margins and buybacks improved during his tenure, but branded checkout growth stayed slow, and the board replaced him with Enrique Lores effective March 1, 2026.
Source - Enrique Lores2026–present
President and Chief Executive Officer
Former HP Inc. CEO (2019-2026) and PayPal board chair; replaced Alex Chriss as CEO effective March 1, 2026. In his first full quarter (Q2 2026) PayPal beat estimates and raised full-year EPS guidance.
Source
Timeline: Klarna and PayPal side by side
1998PayPal
Confinity Founded
PayPal traces its origins to Confinity and the early X.com online payments era.
2002PayPal
IPO and eBay Acquisition
PayPal went public and was acquired by eBay in 2002.
2005Klarna
Founded as Kreditor
Sebastian Siemiatkowski, Niklas Adalberth and Victor Jacobsson launch an invoice-after-delivery service for Swedish online shops.
2009Klarna
Renamed Klarna
Kreditor is rebranded as Klarna and expands across the Nordics and into Germany and the Netherlands.
2014Klarna
Acquires SOFORT
Klarna completes its purchase of German bank-transfer payment provider SOFORT, giving it scale in the DACH region.
2015PayPal
PayPal Spins Off From eBay
PayPal became an independent public company again in 2015.
2017Klarna
Swedish banking licence
Klarna receives a full banking licence from the Swedish Financial Supervisory Authority, operating as Klarna Bank AB.
2021Klarna
$45.6 billion valuation
A SoftBank-led funding round values Klarna at $45.6 billion during the pandemic e-commerce boom.
2022Klarna
Valuation reset and layoffs
Klarna cuts about 10% of staff in May and raises money in July at a $6.7 billion valuation.
2024Klarna
Return to net profit
Klarna reports a $21 million net profit for 2024 on $2.81 billion of revenue.
2025Klarna
NYSE IPO
Klarna lists on the New York Stock Exchange as KLAR in September 2025, pricing at $40 per share.
2025PayPal
$33.172B FY2025 Revenue
PayPal reported $33.172 billion of revenue and $5.233 billion of net income.
2026Klarna
FY2025 results
Klarna reports $3.51 billion of FY2025 revenue, $127.9 billion of GMV, $65 million of adjusted operating profit and a $273 million net loss.
2026Klarna
Q2 profit and guidance cut
Klarna posts a $9 million Q2 2026 net profit on $1.042 billion of revenue but lowers 2026 GMV guidance to $149-151 billion.
2026PayPal
Enrique Lores Named CEO
PayPal appointed Enrique Lores President and CEO effective March 1, 2026.
2026PayPal
Strategic Reorganization Announced
PayPal reorganized around checkout, consumer financial services, Venmo, payment services, and crypto.
2026PayPal
Q2 2026 Beat and Raised Guidance
Q2 2026 revenue rose 5% to $8.68 billion and TPV rose 10% to $486.4 billion; full-year non-GAAP EPS guidance was raised to about $5.38.
2026PayPal
Stripe and Advent Takeover Approach Ends
PayPal's board reportedly rejected a $60.50-per-share approach valuing it above $53 billion; the Stripe and Advent consortium dropped its pursuit on August 28, 2026.
Acquisitions
Klarna
- PriceRunner2022Undisclosed
- APPRL2021Undisclosed
- HERO2021Undisclosed
- Stocard2021Undisclosed
- Moneymour2020Undisclosed
- BillPay2017Undisclosed
PayPal
- Paidy2021$2.7B
- Honey2020$4B
- IZettle2018$2.2B
- Simility2018$120M
- Xoom2015$890M
- Braintree2013$800M
Questions about Klarna vs PayPal
Who is the CEO of Klarna Group plc and PayPal Holdings, Inc.?
Klarna Group plc is led by Sebastian Siemiatkowski and PayPal Holdings, Inc. is led by Enrique Lores. Both serve as the top executive responsible for the company's strategy, operations, and financial performance.
When was Klarna Group plc founded vs PayPal Holdings, Inc.?
PayPal Holdings, Inc. was founded in 1998 — 7 years before Klarna Group plc, which was founded in 2005. PayPal Holdings, Inc.'s longer operating history gives it a deeper track record but also potentially more institutional inertia compared to the younger Klarna Group plc.
How many employees does Klarna Group plc have compared to PayPal Holdings, Inc.?
Klarna Group plc employs approximately 2,831 people, while PayPal Holdings, Inc. employs approximately 23,800. PayPal Holdings, Inc. has the larger workforce at 23,800 employees, compared to Klarna Group plc's 2,831. A higher headcount does not necessarily imply greater efficiency — it often reflects differences in business model (e.g., manufacturing vs. software).
Where are Klarna Group plc and PayPal Holdings, Inc. headquartered?
Klarna Group plc is headquartered in United Kingdom and PayPal Holdings, Inc. is headquartered in United States. Their different home markets mean they may face different regulatory frameworks, tax regimes, and currency exposure.
Who founded Klarna Group plc and PayPal Holdings, Inc.?
Klarna Group plc was founded by Sebastian Siemiatkowski, Niklas Adalberth, Victor Jacobsson. PayPal Holdings, Inc. was founded by Max Levchin, Peter Thiel, Luke Nosek, Elon Musk.
Which company has a longer operating history — Klarna Group plc or PayPal Holdings, Inc.?
PayPal Holdings, Inc. has been operating for approximately 28 years, making it the more established of the two companies. Klarna Group plc has been in operation for around 21 years. A longer operating history often signals greater institutional resilience and brand recognition, though it can also mean slower adaptation to new market conditions.
Figures come from each company's filings and the sources linked beside them. Amounts reported in another currency are shown in US dollars at an approximate rate and marked with ~. Back to the Klarna vs PayPal overview