TalkTalk has acquired several assets from supermarket chain Tesco as it looks to boost its quad-play offering.
The company has bought PAYG digital movie and TV service blinkbox and Tesco’s broadband and fixed line voice customer base for an undisclosed sum in cash.
blinkbox, which offers 20,000 films and TV programmes, will be integrated with TalkTalk’s existing TV service.
TalkTalk said the addition of blinkbox will help to accelerate the development of its TV platform by delivering “a number of key initiatives significantly faster”, such as offering a TV app to customers for in and out of home access to paid-for content across a range of devices.
TalkTalk TV is based on the YouView platform, in partnership with BT among others, and has over 1.2 million customers.
The deal sees blinkbox CEO and co-founder Adrian Letts join TalkTalk as Managing Director for TV.
The company said the benefits of restructuring the combined platform and revenue synergies “are expected to flow from the end of calendar 2015”.
Further, TalkTalk has acquired Tesco’s broadband and voice customer base, which includes 75,000 broadband and 20,000 voice households.
The company said the addition will enable it to further leverage the scale and economics of its national network.
Customers will be transferred across to the TalkTalk network over the coming months.
TalkTalk CEO Dido Harding commented: “Since launch TalkTalk TV has demonstrated its popularity with value-seeking customers to become the UK’s fastest growing TV service.
“We are excited about the opportunity that blinkbox’s platform and technology expertise bring, and which will significantly accelerate the development of our TV platform.
“The purchase of Tesco’s broadband base is another example of TalkTalk leveraging its national network to grow faster.
“We are excited about the future of quad-play – fixed phone and broadband, TV and mobile – and this acquisition will help to further drive home our value for money advantage.”