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Tesco Mobile was formed as a joint venture by supermarket giant Tesco and Telefonica UK (O2) back in 2003
Today, Virgin Media O2 (VMO2) and Tesco have announced a ten-year renewal of their ongoing partnership surrounding joint venture Tesco Mobile.
Tesco Mobile was formed twenty-one years ago as a joint venture between the two companies and has since become the largest mobile virtual network operator (MNVO) in the UK, with over 5.5 million customers. In 2022, the business reported a 9.4% increase in sales to £970 million.
According to VMO2’s press release, 99% of the population is covered by the operator’s 4G services. As a MVNO, Tesco Mobile does not own a spectrum license itself, but instead sells its mobile services using VMO2’s extensive mobile network.
“With demand for mobile data greater than ever, we’re continuing to invest heavily in our network to give our customers, and those of other providers who use our connectivity, an even better experience with the fast and reliable mobile services they expect and rely on,” said Lutz Schüler, CEO of VMO2.
“This renewal will ensure that our customers can continue to benefit from excellent connectivity across the UK, while enjoying all the benefits of supermarket mobile, including exclusive deals with Clubcard Prices,” said Tesco CEO Jonathan Taylor.
Back in 2015, Tesco was preparing to sell its stake in the mobile unit in an effort to cut its debt pile, which at the time stood at £22 billion. However, this did not materialise.
Catch up with Virgin Media O2 at this year’s Connected North Event – 22-23 April in Manchester. Book your tickets today!
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