AO World has launched a new website selling mobile phones, contracts and SIM cards.

The online-only electricals retailer stated that it is well-positioned to undercut rival High Street brands like Dixons Carphone, as customers “don’t have to pay for hundreds of high street stores with thousands of sales staff”.

Chief executive John Roberts said: “Customers tell us that they find buying mobile and connectivity complicated, so from today, we’re making it easy to choose what’s best for them with easy-to-understand pricing and fantastic service.”

The move comes as AO seeks to diversify its business, having reported a £18.9 million loss for the year to 31 March, up from £13.5 million a year earlier.

It has been building the infrastructure for its mobile move since the acquisition of Mobile Phones Direct in December last year.

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