Mobile Virtual Network Operator Market is Dazzling Worldwide and Forecast to 2030

The global mobile virtual network operator (MVNO) market is a segment of the telecommunications industry that offers mobile services to customers without owning the physical network infrastructure. MVNOs lease network capacity from traditional mobile network operators and provide their own branded services to subscribers. The market can be classified based on the operational model, type of services, and subscriber categories.

In terms of the operational model, there are three main categories. Full MVNOs have their own core network infrastructure and have control over service delivery, billing, and customer support. Reseller MVNOs, on the other hand, do not own network infrastructure but purchase bulk access to network services from existing operators and resell them under their own brand. Service operator MVNOs focus on providing value-added services on top of existing infrastructure, such as content delivery or IoT connectivity.

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The market can also be segmented by the type of services offered. Media and entertainment MVNOs cater to customers in the media and entertainment industry, providing services such as streaming, content delivery, and specialized mobile plans. Cellular M2M MVNOs specialize in offering connectivity solutions for IoT devices and machine-to-machine communication. Retail MVNOs target the general consumer market and provide mobile services through various distribution channels. Telecom MVNOs directly compete with traditional mobile network operators by offering voice, data, and messaging services.

Subscriber segmentation is another important aspect of the MVNO market. Consumer-focused MVNOs target individual customers, providing mobile services for personal use, including voice, data, and messaging. Enterprise-focused MVNOs cater to businesses and offer services tailored to their specific needs, such as corporate plans, mobile device management, and enhanced security.

Key Drivers of the Mobile Virtual Network Operator Market
Increased Demand for IoT Connectivity
With the rise of the Internet of Things (IoT), there is a growing demand for connectivity solutions for a wide range of devices. MVNOs specializing in cellular M2M (machine-to-machine) services are well-positioned to provide connectivity to IoT devices, including smart homes, wearable devices, industrial sensors, and more. This increasing demand for IoT connectivity drives the growth of the MVNO market.

Enhanced Service Innovation

MVNOs often focus on offering innovative and value-added services on top of basic mobile connectivity. They leverage their agility and flexibility to introduce new services, such as content streaming, bundled offerings, digital wallets, and other value-added features. This service innovation helps attract customers looking for unique and customized mobile experiences. For instance, tech giant Amazon has been engaged in talks with major US carriers Verizon, T-Mobile, and DISH as it considers launching wireless services for its Prime subscribers. The move aims to enhance customer retention and loyalty towards the Prime subscription. Amazon's potential entry as a MVNO could disrupt the market, with reports suggesting prices as low as $10 per month for unlimited plans or even offering the service for free.

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Increasing Mobile Data Consumption

The growing demand for mobile data services is a significant driver for the MVNO market. As consumers increasingly rely on smartphones for data-intensive activities such as streaming videos, gaming, and social media, MVNOs can cater to these data-centric needs with affordable and high-speed data plans. This driver is especially relevant in markets where mobile data usage is rapidly expanding. According to Nokia's Mobile Broadband Index (MBiT) report published in February 2023, mobile data usage in India has increased three-fold over the past five years. The report shows that monthly mobile data traffic in India reached over 14 exabytes, with 4G and 5G services accounting for nearly 100% of the total data traffic. The findings also suggest a growing adoption of 5G, with a rise in average data consumption per user and a projected doubling of total mobile data consumption by 2024.

Expansions and Innovations by Major Market Players
The mobile virtual network operator market has significant contributors such as ASDA, Goggle Fi, Lycamobile, T-Mobile USA, Inc., Tata Communications, Voiceworks B.V., and others. These players assist in the market's growth with the launch of new products and through collaborations and investments.

• In May 2023, Nova Energy, a leading energy company in New Zealand, partnered with Optiva to launch its MVNO services. By leveraging Optiva's BSS cloud platform, Nova will have the flexibility to bundle mobile services with its existing offerings and quickly launch innovative plans. The collaboration aims to deliver a superior customer experience and expand Nova's market presence in a scalable and cost-effective manner.

• In April 2023, The National Content & Technology Cooperative (NCTC) announced its MVNO partner as AT&T. The NCTC will lease AT&T's 4G LTE and 5G networks to offer a customizable white-labeled mobile service platform to its nearly 700 broadband-supplying members. Quality One will handle handsets for the platform, while Reach Mobile will provide turnkey solutions. The choice of AT&T was based on factors like domestic roaming and price competitiveness, ensuring a margin-positive solution for members.

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