Cable & Wireless Optus and Virgin today announced the two companies had agreed to launch a Virgin branded mobile phone company in Australia later this year.

Paul O'Sullivan, Managing Director Mobile, Cable & Wireless Optus said the deal with Sir Richard Branson's Virgin Group would help Optus reach the emerging mass market of young and value conscious mobile phone users through the new company, Virgin Mobile.

"Virgin chose Optus as its joint venture partner in Australia because of our position as the fastest growing and most innovative brand in the mobile market in this country. It is an enormous vote of confidence in Optus," Mr O'Sullivan said.

"The deal is another groundbreaking move for Optus. After being first to market with Internet enabled phones we are now the first Australian mobile business to develop a service with a globally recognised leisure and entertainment company.

"The Virgin 'super-brand', one of the most recognised in the world, will complement the Optus mobile business plan to provide a range of service options to suit almost every mobile user's need.

"Optus mobile already targets the youth market with the Optus pre-paid product, and business with its extensive range of contract mobiles. Virgin Mobile will help us appeal to the great number of Australians who don't yet own a mobile phone.

"At a time when competition in the mobile market will intensify with the entry of new players, we will be launching a highly compelling offer with a powerful super-brand," Mr O'Sullivan said.

Sir Richard Branson, founder of the Virgin Group of Companies, said: 'We are thrilled to be partnering Cable & Wireless Optus in Australia - it is a potent force of two very energetic companies in one of the most dynamic countries in the world. Optus is the fastest growing and most innovative mobile company in Australia; we make a great match. We are sure Virgin Mobile will be as warmly received by the people of Australia, as its sister company has been in the UK.

"Cable & Wireless Optus shares our vision of service, innovation and offering the consumer the best possible technology at the keenest price. We aim to make Virgin one of the most popular consumer brands in Australia."

For more information:
Stephen Woodhill
National Media Manager
Cable & Wireless Optus
Phone: 02 9342 7850

Steven Day
Head of Public Relations
Virgin Mobile (UK)
Phone: +44 793 177 7777