Looks like those rumors from last week are true. Canadian telco Telus has launched Koodo Mobile, a new MVNO targeting teens.

According to IntoMobile, Koodo is initially offering three phones, the most expensive of which is $200 (Canadian). It also offers three calling plans as well as the ability to create your own plan.

Koodo customers can build up a "tab" that helps drive down the cost of a new phone, the article says.