Press release
MVNO Market To Generate $139,663.0 Million Revenue by 2031
A number of factors such as the increasing penetration of mobile devices, booming demand for low-cost mobile services, rising need for high-speed internet connectivity, mounting focus of telecom companies on triple-play services in developing countries, and burgeoning demand for improved mobile internet, voice, and video are expected to drive the mobile virtual network operator (MVNO) market at a CAGR of 7.1% during the forecast period (2021-2031). According to P&S Intelligence, the market was valued at $66,582.0 million in 2020, and it will generate $139,663.0 million revenue by 2031.The rising popularity of triple-play services in the telecom industry is one of the primary growth drivers of the market, as they offer better value and help retain customers. These services are a combination of television, broadband internet access, and latency-sensitive telephone services. In recent years, this bundled pack has become highly prominent in North America, and it will be delivered throughout the world through the internet in the coming years.
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In addition, the soaring focus of MVNOs on segment-targeted pricing and innovative distribution strategies will also accelerate the MVNO market growth in the forecast years. As MVNOs cater to a wide customer base, such as tourists, migrant workers, and specific ethnic groups, their success largely depends on value proposition and brand positioning for target customers. Owing to this reason, MVNOs identify the potential targets to lure them with sharp pricing strategies and increase their profits.
The business model segment of the MVNO market is classified into reseller MVNO, full MVNO, and service MVNO. Under this segment, the full MVNO category is expected to demonstrate the fastest growth throughout the forecast years, as full MVNOs provide their SIM cards, create better business relationships, upsell their services as value-added services, and take complete customer ownership. In the upcoming years, retailers, postal service providers, and financial institutions will enter the market through the full MVNO business model.
Geographically, the European region accounted for the largest share in the MVNO market in 2020, and it is projected to retain its dominance in the forecast years as well. The leading position of this region can be primarily credited to the presence of umpteen MVNOs and notable average net revenue per user (ARPU) in European nations. In addition, the rising shift toward integrated services, such as voice over internet protocol (VoIP), will also contribute to the market growth in the region.
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Whereas, the Asia-Pacific (APAC) MVNO market is expected to register the fastest growth throughout the forecast period, owing to the soaring number of collaborations between MVNOs and mobile phone manufacturers, growing internet penetration, mounting number of mobile subscribers, and escalating use of mobile data. Moreover, the surging efforts being made by China and India to strengthen the information technology (IT) and telecom industries, to offer efficient and enhanced services to people, will also catalyze the market growth in the region.
Thus, the rising focus of the telecom sector on triple-play services and the increasing shift of MVNOs on segment-targeted pricing are the major factors supporting the market growth.
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P&S Intelligence provides market research and consulting services to a vast array of industries across the world. As an enterprising research and consulting company, P&S believes in providing thorough insights on the ever-changing market scenario, to empower companies to make informed decisions and base their business strategies with astuteness. P&S keeps the interest of its clients at heart, which is why the insights we provide are both honest and accurate. Our long list of satisfied clients includes entry-level firms as well as multi-million-dollar businesses and government agencies.
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