Mobile virtual network operator launches peaked in 2006 across the United States and Europe. Currently, that segemnts growth perspectives come from countries across Latin America, Russia, Turkey and Pakistan. The competitive telecom market and the relatively low number of Internet users are among the segment’s market opportunities.
Across Latin America, the MVNO playground is dominated by existing telecoms operators, but new players are emerging, noted Informa Telecoms Media senior analyst Daniele Tricarico during this week’s MVNO Industry Summit Latam (chek all stories). As examples he listed Virgin Mobile, Porto Seguro, Tuyo, Uff Móvil and Full Móvil.
Mobile penetration, a predominately prepaid customers base and high churn trends promote competition and are favorable for MVNOs. “To date, most concentrated markets have been the most receptive to MVNOs,” said Tricarico.
A business model focused on data was also noted, with Tricarico claiming that data-oriented MVNOs have great potential. “Data MVNOs often means youth MVNOs, and theoretically they have a larger addressable market in Latin America than in Europe and North America,” Tricarico said during a presentation.
However, until now the interest in launching MVNOs has come from fixed-line telecom players as adding mobile can increase customer loyalty and help with bundled products. Tricarico estimates that about 80% of total MVNOs are from telecom operators, although he believes there are great opportunities for retailers, since they are also the biggest resellers for carriers.
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