Tesco in joint venture with 02

Tesco said it is working with mobile operator 02 in the UK to launch a Tesco-branded mobile phone service. The joint venture will be known as Tesco Mobile.

The aim is for Tesco to have phones with prepaid contracts on sale by the end of the year. The venture is part of Tesco’s strategy to branch into new retail services, such as Tesco Personal Finance.

Tesco and mm02 will each invest £8m (€11m) in the venture in the next two years.