MVNO Market Size, Trends, Company Profiles, Growth Rate, Trends
Posted by Devanshu Shrivastava on January 12th, 2021
A factor credited for the market growth is the high penetration of mobile devices and amplifying demand for low-cost mobile services. The average cost of smartphones and mobile services is reducing due to constant technological developments and the rising economies of scale. The reduced prices have added significantly to the number of mobile network subscribers. MVNOs target a niche audience and provide low-cost and value-added services, such as enhanced video, voice, mobile payment application, mobile internet, and mobile TV, to decrease the churn out rate of subscribers to competitors.
The categories under the service type segment of the mobile virtual network operator market include discount, telecom, media and entertainment, business, retail, migrant, cellular machine-to-machine (M2M), and roaming. In 2019, the discount category held the largest market share due to the availability of low-cost telecom services worldwide. This has been a result of the escalating competition between market players, which is why MVNOs are offering basic telecom services, such as SMS and voice calls, to customers at a discounted price.
Globally, the European mobile virtual network operator market generated the highest revenue during the historical period (2014–2019), as it is one of the most advanced regions in terms of infrastructure development and technology adoption. Besides, the presence of numerous MVNOs and notable average net revenue per user (ARPU) in the region are propelling the market growth. Additionally, the quick adoption of integrated services, such as voice over internet protocol (VoIP), through MVNOs is adding significantly to the market size.
During the forecast period, the Asia-Pacific (APAC) region will register the fastest growth in the mobile virtual network operator market due to the collaborations between mobile phone manufacturers and industry players. Further, emerging nations, such as India and China, are continuously working to improve their IT and telecom sector, to offer efficient and enhanced services to the people. In addition, a surge in the number of mobile users and increase in mobile data usage are boosting the growth of the regional market.
Thus, the soaring demand for mobile phones and availability of value-added services will augment the market growth in the coming years.
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About the AuthorDevanshu Shrivastava
Joined: January 31st, 2020
Articles Posted: 105
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