Telefonica has unveiled its new app to rival Skype, Whats App and Viber. The app allows smartphone users to communicate and send messages using their data allowance rather than using their minutes or text allowance.

Tu Me will be free to download and will be promoted to members of Telefonica's O2, Movistar and Vivo networks, which totals 300 million customers across the world.

The app will allow users to send messages, pictures, and voice messages with others who also have the app. Messages will be encrypted when transmitted and Telefonica has vowed not to analyse or provide third-party access to the contents unless required to do so by the courts.

"We've seen the growing popularity of communication apps on smartphones but we believe we've gone one better with Tu Me using our knowledge and insights of how people use their devices," said Telefonica Digital's chief commercial officer Stephen Shurrock.