Swoop Holdings’ Moose Mobile has struck a wholesale MVNO agreement with TPG Telecom, aiming to lift gross margins by 50% and grow its subscriber base to over 180,000 within three years.
- MVNO deal grants Moose Mobile access to TPG’s national network
- Expected 50% gross margin improvement over FY27-FY29
- Subscriber base targeted to grow from 135,000 to 180,000
- New billing platform and eSIM launch to enhance customer experience
- Partnership leverages tier-one network infrastructure and cost efficiencies
Wholesale Partnership with TPG Telecom
Swoop Holdings Limited (ASX:SWP) has taken a significant stride in its mobile strategy through its subsidiary Moose Mobile, which has entered into a wholesale Mobile Virtual Network Operator (MVNO) agreement with TPG Telecom (ASX:TPG). Effective 16 June 2026, this deal grants Moose Mobile access to TPG’s national mobile network infrastructure, a move that promises to substantially enhance network coverage and service quality for Swoop’s residential, business, and wholesale customers across Australia.
Margin Expansion and Subscriber Growth Ambitions
The agreement is poised to deliver a substantial uplift in Swoop’s financial profile, with management forecasting a 50% improvement in gross margin percentage across the next three financial years (FY27 to FY29). This improvement stems primarily from reduced average cost per user (ACPU) due to the wholesale terms negotiated with TPG, which in turn supports a more competitive pricing strategy without compromising margin. Swoop aims to expand its mobile subscriber base from approximately 135,000 to over 180,000 net subscribers within the same timeframe, leveraging TPG’s network reach to tap into a broader segment of value-conscious mobile users.
Technology Upgrades and Customer Experience
Complementing the wholesale agreement is the concurrent rollout of a new billing platform and the launch of eSIM capabilities. These technological upgrades are designed to streamline customer onboarding and management, enhance service flexibility, and deepen customer engagement across both mobile and National Broadband Network (NBN) offerings. Swoop’s Chief Revenue Officer, David Michaels, highlighted that these initiatives collectively position the company to deliver a superior mobile and broadband experience, which is critical to driving profitable growth at scale.
Strategic Positioning in a Competitive Market
Moose Mobile’s focus on value-seeking customers aligns with a large and growing segment of the Australian mobile market. By securing wholesale access to a tier-one carrier’s network, Swoop reduces its cost base while maintaining its established go-to-market approach. Jonathan Rutherford, Group Executive at TPG Telecom, emphasised that the partnership underscores the strength of TPG’s network in fostering competition and expanding consumer choice.
Financial and Operational Implications
This deal follows a period where Swoop has faced operational and financial challenges, including a half-year loss and going concern warnings earlier in 2026. The wholesale agreement and technology investments could mark a turning point by improving unit economics and supporting subscriber growth, which are key to restoring financial momentum. Investors will be watching how effectively Swoop leverages these advantages in upcoming quarterly results and whether the promised margin expansion materialises alongside subscriber gains.
Bottom Line?
Swoop’s wholesale deal with TPG and tech upgrades set a foundation for margin growth and subscriber expansion, but execution risks remain as the company seeks to convert these advantages into sustained profitability.
Questions in the middle?
- How quickly will Moose Mobile’s subscriber base respond to improved network coverage and eSIM availability?
- Will the new billing platform deliver the promised operational efficiencies and customer experience improvements?
- Can Swoop sustain the projected 50% gross margin improvement amid ongoing competitive pressures?