Woolworths to become Telstra MVNO

Supermarket giant Woolworths has signed a deal with Telstra to become a wholesale provider of the telco's 3G mobile network.

Woolworths will use Telstra's 850MHz and 2100MHz spectrum, the telco said today.

The retailer has signed up for Telstra's pre-paid and post-paid mobile solution, which offers resellers their own branded pre-paid, post-paid and wireless broadband offerings, real-time account management with live notifications for customers, and Telstra wholesale post-sale support.

It will use Telstra's homegrown wholesale billing platform - which is modelled on an Ericsson solution.

Telstra's wholesale offering spans 7000 3G 850MHz sites covering 1.3 million square kilometres of Australia.

In late 2013, Woolworths shut down its Mobile brand - which partnered with Optus for pre-paid mobile services - after two years in operation.

The new Telstra partnership will only initially apply to the telco's 3G network.

Telstra does not currently offer its 4G network to wholesale partners, but recently promised to open the network to mobile virtual network operators (MVNOs) by no later than June 2016.

Telstra 4G Wholesale will offer both post-paid and prepaid variants.

A Telstra spokesperson told iTnews Woolworths would be free to take up wholesale services on the 4G network when it becomes available next year.

Optus is the only telco currently to open its 4G network to wholesale partners.

Telstra also has a wholesale partnership with the mobile arm of retailer Aldi.