BigAir has acquired Pacific Internet subsidiary T3 Wireless, absorbing its 779 iBurst customers in a bid to strengthen its retail channel presence.

"Absorbing T3 will improve our margins and allow us to start offering some enhanced products that wouldn't usually be economically justifiable with our small base," BigAir CEO, Jason Ashton said.

The acquisition has expanded BigAir's iBurst subscriber base to about 8500 and is expected to add more than $600,000 in revenue. However, Ashton said the revenue estimate did not include growth expected from the transfer of T3's existing retail channel distribution agreements to BigAir.

"We are meeting with the main retailers today and tomorrow to finalise agreements and discuss some new additions," Ashton said.

BigAir would be introducing a USB wireless card for iBurst customers by the end of June and would also look at launching VoIP and VPN solutions, he said.

A Pacific Internet spokesperson said the company sold T3 as its wireless customers were not strategically aligned with Pacific Internet's business focused approach.

"The residential sales channels weren't enough for us," the spokesperson said. "However, this doesn't mean we're turning our back on wireless. We will continue to sell mobility and wireless solutions to our business customers."