AO is moving beyond selling mobile phones and into the network business with the launch of its own SIM service, AO Mobile.

The company is entering the market with a single tariff offering 500GB of data for £12 a month to AO members.

Non-members will pay £18 a month for the Ultimate 500GB plan, which comes on a 30-day rolling contract and includes unlimited UK calls and texts, 15GB of EU roaming and 5G connectivity.

Customers can add up to nine additional SIMs to the same account, opening the service up to families as well as individual users.

AO Mobile will operate as a mobile virtual network operator (MVNO), giving customers nationwide connectivity while AO handles the retail proposition and customer service.

Both physical SIM cards and eSIMs will be available from launch.

AOhas deliberately opted for one high-data tariff rather than a range of different packages, arguing that 500GB gives most customers more than enough capacity without pushing them towards a more expensive unlimited plan.

The launch marks the latest expansion of AO’s offer beyond its core electricals business and builds on its existing presence in mobile phone retail.

AO founder and chief executive John Roberts said: “We’ve been disrupting the status quo since 2000 to make things better, simpler, and cheaper for customers.

“We want to remove complexity and keep mobile simple so that it’s easy for customers to understand. Our pricing is transparent, our contracts are flexible, and our prices are fixed.

“For AO, this feels like the right approach because a mobile phone is so central and critical to everyday life.”

Roberts said the proposition was designed to avoid the complexity often associated with mobile contracts.

“AO Mobile simplifies everything with just one tariff. AO members get 500GB for only £12 including 15GB of EU roaming every month. No gimmicks, no price rises in the first 12 months, no surprises and a rolling 30-day contract.

“It is typical AO value. We don’t need to tie you in because you’ll never want to leave.”