The US roll-out of Tesco.com's online shopping system will start in San Francisco, it was revealed this week. Last month Tesco licensed its technology to US supermarket chain Safeway and took a 35% stake in the latter's warehouse based online grocer Grocery Works. The service is being relaunched later in the year using Tesco's store based fulfilment system under Safeway branding. San Francisco is fertile ground for web grocers. The city is the birthplace of the internet and has a ready supply of online shoppers previously catered for by Peapod and newly defunct Webvan. Tesco boss Terry Leahy said that launching in San Francisco was the "modern version of taking coal to Newcastle". {{NEWS }}

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