Aussie Broadband to let resellers sell its services under their own brand

Aussie Broadband is to start letting reseller and retail service provider (RSPs) partners sell its products under their own branding with a new white label solution. 

The National Broadband Network- (NBN) focused telecommunications provider will cover its internet and voice-over-IP (VoIP) service, with one unnamed customer already reportedly signed up. 

The company's new white label capacity provides NBN, Opticomm and VoIP services, and will allow white label customers to choose elements from Aussie Broadband's product cycle that suit their needs. 

The Australian Securities Exchange (ASX)-listed telco told shareholders the unnamed customer it will transfer 25,000 of its own broadband and VoIP connections to the white label service in early FY2022.

Aussie Broadband expects to start transferring more customers over in the first half of the next financial year. 

"We have built scalability into our network and support platform to take on additional white label customers as it is an important pillar in Aussie Broadband's growth strategy," said Phillip Britt, Aussie Broadband managing director. 

"The market is evolving as we're seeing a number of well-known Australian retail brands across several industries either looking to expand into telecommunication services under their own label, or needing a higher quality customer experience for their existing telco customer base to match their brand promise." 

The news comes as Aussie Broadband posts an 8.8 per cent quarterly increase in broadband connections between the periods ending 31 December 2020 and 31 March 2021. 

Britt added that the white label service would help boost the company’s market share in Australia. 

Aussie Broadband listed on the ASX in October last year in a $40 million IPO. For the half year ended 31 December 2020, it posted a revenue increase of 89 per cent to $157.4 million. 

However, net profit before tax sank even further into the red at $10.5 million.