Freshtel gets Tesco on the line

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ASX-listed Freshtel Holdings has announced a new deal with UK retailer Tesco.

ASX-listed Freshtel Holdings has announced a new deal with UK retailer Tesco.

The agreement will see the roll-out of Tesco-branded software, hardware and network VoIP services direct to its customers.

The terms of the deal were not disclosed.

Freshtel CEO Michael Carew said the alliance would play a major role in the company’s plan to build out its network of global VoIP partners.

With the added per user licence fees, margin on calls to landlines and mobiles and hardware sales the agreement would also significantly boost the company’s bottom line, he said.

Tesco Telecoms CEO Andy Dewhurst said the company’s reach would take a niche offering like VoIP and make it mainstream.

Tesco’s telco division currently offers home, mobile, internet access services. It’s s mobile business currently claims over one million subscribers.

Freshtel’s own retail branded service, Firefly, is also growing with the company now claiming some 260,000 subscribers.

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