Cash App Launches $40 Unlimited 5G Phone Service

Cash App is launching a phone service powered by an AT&T-based mobile virtual network operator (MVNO). The new service will offer an unlimited 5G data plan for $40 per month, inclusive of taxes and fees. This pricing matches that of a similar service from Gigs, the same firm behind Klarna's mobile offering that debuted last year.

The Cash App mobile service is rolling out to select users, with broader availability planned in the coming months. Cash App also plans to integrate its new mobile service with its Cash App Green rewards program and Cash App Families, a setup for managing supervised child and teen accounts. As the #1 personal finance app in the US, Cash App aims to deepen the connections between its Mobile service and other features.

Cash App's move into mobile services could further expand its presence in consumers' financial lives. Why this matters: Cash App's entry into the mobile phone service market has significant implications for the fintech and telecom industries. By offering a low-cost, unlimited data plan, Cash App is poised to attract price-sensitive consumers and further integrate its services into users' daily lives.

For developers and businesses, this move highlights the importance of convergence in financial services, where companies are increasingly blurring the lines between different product offerings. As Cash App continues to expand its mobile service, open questions remain about how it will manage customer support, network quality, and potential partnerships with other telecom players. For consumers, this new option may provide a more affordable and streamlined alternative to traditional carriers, but careful evaluation of the service's terms, data speeds, and customer experience will be essential before making the switch.