Lidl will launch discounted mobile phone plans in multiple countries later this year, expanding beyond its existing European footprint as the supermarket group targets up to 30 markets including the UK and US.

In comments to The Financial Times, the German retailer confirmed it is preparing to extend its mobile offering beyond Germany, Austria and Switzerland, although it has not disclosed which countries will be prioritised. The plans will be delivered through its Lidl Plus app, which has more than 100 million users globally.

The move places Lidl among a growing group of non-traditional entrants into telecoms, including fintech companies such as Revolut, Klarna and N26, as businesses seek to diversify revenues and deepen customer relationships. The Financial Times previously reported that UK digital bank Monzo is exploring a similar initiative.

Lidl’s expansion will be enabled through a partnership between its parent, Schwarz Group, and communications provider 1GLOBAL. The agreement allows Lidl to operate as a mobile virtual network operator, using existing telecoms infrastructure rather than building its own network.

Julian Beer, executive at Lidl International, told the paper the service would deliver “uncomplicated connectivity” to millions of customers. Hakan Koç, founder and chief executive of 1GLOBAL, said his company aimed to make mobile services more intuitive and flexible.

As part of the deal, Schwarz Group will acquire a 9.9 per cent stake in 1GLOBAL, which holds telecoms licences and partnerships across 12 countries. The arrangement strengthens Schwarz’s position in digital services while limiting the capital requirements typically associated with telecoms infrastructure.

Analysts cited by the Financial Times said Lidl’s entry into additional markets could intensify competition for established telecoms providers, particularly as new entrants focus on lower-cost, app-based services. Kester Mann, analyst at CCS Insight, said the retailer’s expansion would increase pressure on operators already facing competition from financial services groups.

The mobile initiative forms part of Schwarz Group’s broader push to build a digital ecosystem alongside its 14,000 Lidl and Kaufland stores. Through its Schwarz Digits division, the group has expanded into cloud computing, cyber security and investments in artificial intelligence start-ups.

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