Newtel says it is working on a mobile phone strategy

Newtel Solutions wants to offer more alternative phone, internet and cable services to compete with Jersey Telecom and Cable and Wireless Guernsey.

Peter Funk, the company's chairman, says by investing more cash, Newtel will be able to offer better choice and greater reliability.

But he admits it will be harder to compete in the mobile phone market.

Mr Funk said: "The market place is about 90% saturated here in Jersey, so there is the question of how many more services people are going to buy.