Put simply, an MVNO is a mobile service provider that doesn’t own or operate its own mobile network infrastructure. Instead, it leases network capacity from established Mobile Network Operators (MNOs) to offer its own unique service plans and pricing, targeting specific niches or offering more competitive rates. Here in Asia, some countries have well established MVNO ecosystems, such as Singapore and Malaysia, whereas others are only now starting to open up to the MVNO opportunity.
For consumers, the key benefits of MVNOs are freedom of choice and more competitive pricing.
Whilst market saturation, eroding profit margins and regulatory policies are pushing the overall telco market towards consolidation – as we have seen through the recent mergers of Celcom and Digi in Malaysia, and Indosat Ooredoo with Hutchison 3 in Indonesia – consumers are being left with fewer options when it comes to choosing their service provider. MVNOs break this power dynamic, offering alternative plans and empowering consumers to switch if unhappy.
Cerillion plc (LON:CER) is a leading provider of billing, charging and customer management systems with more than 20 years’ experience delivering its solutions across a broad range of industries including the telecommunications, finance, utilities and transportation sectors.
