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Woolworths to become mobile service provider, thanks to Telstra

Woolworth's phone

Telstra has announced that it has signed a wholesale agreement with Woolworths to allow the supermarket chain to become a reseller of mobile services on Telstra’s 3G Network.

The deal will give Woolworths the network access and operating platform it needs to become a virtual network operator, just like supermarket competitor Aldi did with its Aldi Mobile service, which also uses Telstra’s network.

Woolworths’ Head of Telco, Jason Hair, says that the aim is to provide Australians with a simple, value-driven mobile service, which sounds an awful lot like Aldi’s mobile offering.

Clean up on aisle 3G

The agreement, which gives Woolworths use of the 850MHz and 2100MHz frequency spectrum, gives Telstra the opportunity to reach 98.5% of Australia’s population through Woolworths’ 872 retail stores across the country.

Woolworths originally had a deal with Optus to provide mobile services to retail customers, however the telco ended the agreement with the supermarket chain back in 2013.

More details about Woolworths’ mobile services will be made available in the coming weeks.