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The mobile virtual network operator (MVNO) market will grow from $62.2 billion in 2019 at a 6.5% CAGR between 2020 and 2030, to reach $127.1 billion by 2030

·4 min de lecture

Mobile Virtual Network Operator (MVNO) Market Research Report: By Service Type (Discount, Telecom, Media & Entertainment, Business, Retail, Migrant, Cellular M2M, Roaming), Category (Postpaid MVNO, Prepaid MVNO), Business Model (Full MVNO, Service MVNO, Reseller MVNO), Subscriber (Consumer, Enterprise) - Global Industry Analysis and Growth Forecast to 2030

New York, Nov. 04, 2020 (GLOBE NEWSWIRE) -- announces the release of the report "Mobile Virtual Network Operator Market Research Report: By Service Type, Category, Business Model, Subscriber - Global Industry Analysis and Growth Forecast to 2030" -

Mobile phones have transformed from a simple ‘mobile phone’ to the lifeline of people. From making calls, which was the original purpose of the device, to ordering food and calling cabs, a vast array of tasks are now being performed via smartphones. These consumer electronics have become so popular that from 65% in 2019, their global penetration is expected to reach 80% by 2025-end, as per GSMA Intelligence. The agency also estimates 5.8 billion unique mobile connection subscribers to inhabited the earth by the end of 2025.

Be it anywhere, one thing in common with all mobile phone users these days is the demand for low tariffs. P&S Intelligence says that this is the primary reason the mobile virtual network operator (MVNO) market will grow from $62.2 billion in 2019 at a 6.5% CAGR between 2020 and 2030, to reach $127.1 billion by 2030.

An MVNO is any mobile network provider who doesn’t own the infrastructure or the bandwidth; rather, buys it from mobile network operators (MNOs), who are actually the mobile network providers, in bulk, at wholesale rates. Since the MVNO doesn’t have to worry about installing and maintaining the expensive telecommunications infrastructure and paying the spectrum licensing fee, it is free to offer services at cost-effective rates. This is also of benefit to the leasing MNOs, many of whom have so much bandwidth that a large chunk of it otherwise remains unused, leading to losses.

Another reason MVNOs are flourishing currently is the increasing demand for triple-play services. Till recently, cable TV connections, internet access, and fixed-line telephone services were provided via dedicated channels. But now, the demand for triple-play services, wherein all three of the above-mentioned services are provided via a single internet fiber cable, is rising. Already popular in North America, the concept is expected to be taken up around the world in the coming years. Seeing the vast potential the concept holds in Africa and APAC, many new MVNOs are entering these regions.

MVNOs receive business both from individual customers and enterprises, of whom individual consumers have been the more-significant target subscribers for such operators. With the increasing number of mobile phone users, the demand for high-speed data transmission for video streaming, web conferencing, and other real-time applications, such as tracking food deliveries, is rising. With the word about the benefits of subscribing to MVNOs spreading, even enterprises are now warming up to the concept. As such service providers operate almost completely via the cloud, they offer companies better control over their communications, faster deployment, cost-effectiveness, and easy scalability.

Presently, the largest mobile virtual network operator market is Europe, as it is home to the largest number of MVNOs. Moreover, the high disposable income of the people allows MVNOs to charge higher rates than in developing regions. In the coming years, the penetration of such service providers is expected to rise sharply in APAC, majorly because of the increasing number of smartphone users, rising adoption of data-intensive applications, and government support. For instance, in 2017, Department of Telecommunications, under the Ministry of Communications of India, licensed 61 MVNOs to operate in the nation.

Thus, with broadband fibers becoming the preferred mode of communications, the demand for cost-effective MVNO services is bound to grow around the globe.
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