I've just had an email from Tesco saying they are abandoning their Tesco Internet Phone venture effective 27 April 2010.
We are writing to let you know that from 27th April 2010, we will no longer be providing Tesco internet phone and Talk Wi-fi services. This is due to a number of factors that impact the service we provide to you, so we have decided to discontinue this offering.
From this date your Tesco internet phone account will be closed and the service will not be available. You will no longer be able to access your online account or be able to make calls using your Tesco internet phone.
The Tesco service was supported by the Australian VOIP supplier Freshtel. Freshtel attempted to use the Tesco business to gain a foothold in the UK VOIP market but this was unsuccessful and Freshtel decided to abandon the UK market during April 2010. This left Tesco without a partner in the project and they obviously decided to cut their losses and withdraw the Tesco IP product.