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A Mobile Virtual
Network Operator (MVNO):
is a GSM phenomenon where an operator or company which does
not
own a licenced sprectrum and generally with own networking
infrastructure. Instead MVNOs resell wireless services under their
brand name, using a regular telecom operator's
network with
which they have a business arrangements. Usually they they buy minutes
of use (MOU) from the licenced telecom operator and then
resell
minutes of usage to their customers of MVNO. Currently MVNOs are
emerging in fast pace in European markets and beginning in
USA
also. Slowly MVNO phenomenon catching up in Asia and other
parts
of the world also.
An example for MVNO is Virgin Mobile. Virgin Mobile plc is a mobile phone service provider operating in the UK, Australia and Canada, and the US. The company was the world's first Mobile Virtual Network Operator, launched in the UK in 1999. It does not maintain its own network, and instead has contracts to use the existing network(s) of other providers. In the UK, Virgin Mobile uses the T-Mobile network. In the US, the Sprint network is the carrier. In Australia, Virgin Mobile operates on the Optus network. In Canada, it uses the Bell Mobility network. These networks use different technology (GSM in the UK and Australia and CDMA in the US and Canada). Characteristics of an MVNO: * MVNOs are new breed of wireless network operators who may not own the wireless spectrum, or wireless infrastructure (also termed pipe, in colloquial terms) but give a virtual appearance of owning a wireless network. These operators lease the pipe or wireless capacity from traditional operators and then repackage it for a specific vertical industry application. * Main added value that MVNO provides is billing and customer care functions. In that sense MVNOs own the customers. * MVNOs generally provide both voice and data services to end users through a paid up subscription agreement. * To become an MVNO, one should cobble together a partnership that consists of a connectivity of a regular telco, a customer base, and a sales channel. Most important, they need unique and compelling data services. MVNO Services For now MVNO services have been limited, but analysts from EMC Research have predicted that as wireless services grow, so will the availability of niche MVNO applications. For instance, in the future a cell phone user may be able to subscribe to a network operator plus multiple MVNOs for specific data services over the same phone. One MVNO could provide sports news, another weather and traffic and still another could provide instant messaging capabilities. In this way, each MVNO and the network operator could focus on their own niche markets and form customized detailed services that would expand their customer reach and brand. Regulation So far MVNOs have not been regulated in any country. The ITU has received several requests to study the issue, specifically to provide input on whether government intervention is necessary to allow MVNOs to offer services and applications at a lower price to consumers. This would help to ensure a more efficient use of the spectrum but some incumbent providers argue that the market is already competitive and intervention is not necessary. MVNO Resources : Wikipedia MVNO Alalysis Virgin Mobile MobileIN MVNO Tutorial |
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