You can send ANSI escape sequences to the telnet client to clear the screen, move the cursor, or change text colors. The library provides an ansi object (from EscapeCodes.h) that returns these sequences as Strings.
Example usage:
telnet.print(ansi.cls());
telnet.print(ansi.home());
telnet.print(ansi.setFG(ANSI_BRIGHT_WHITE));
telnet.println("\nWelcome " + telnet.getIP());
telnet.print(ansi.reset());
telnet.print(ansi.cls());
telnet.print(ansi.home());
telnet.print(ansi.setFG(ANSI_BRIGHT_WHITE));
telnet.println("\nWelcome " + telnet.getIP());
telnet.println("(Use ^] + q to disconnect.)");
telnet.print(ansi.reset());