European network operator O2 has announced it will no longer be selling new service contracts to customers through Phones 4u, one of the largest mobile phone retail chains in the UK.

Starting April 1 this year, customers will only be able to buy pre-paid handsets and upgrade contracts from O2 through Phones 4u, no new contract and phone deals will be made through the retailer. This is said to be part of O2’s strategy to bring business to its own retails stores, of which it now has in 400 locations after a buyout of The Link retail chain last year.

A similar situation occurred last year when Vodafone announced it was no longer going to be selling new contracts through Carphone Warehouse, instead signing an exclusive retail deal with Phones 4u.

via MobileBurn