The MVNO market is expected to expand from USD 84.6 billion in 2023 to USD 116.8 billion by 2028, reflecting a CAGR of 6.7% during the forecast period. The rapid adoption of IoT technologies across industries like healthcare, manufacturing, transportation, and smart cities has been a key driver of this growth. As organizations increasingly implement IoT devices to streamline operations, boost productivity, and enhance efficiency, the demand for IoT connectivity solutions has risen significantly.
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Based on subscriber, the enterprise segment is expected to grow with the highest CAGR during the forecast period
Enterprise MVNOs help enterprise IT markets expand their mobile options, such as better service and customer support, the ability to manage mobile users, and the expertise to integrate mobile data with existing desktop infrastructure. More and more enterprises seek better visibility and control over their mobile communications. One of the factors driving the growth of the enterprise segment is the desire to reduce costs while making the most of different, unified communications platforms and IoT services and offering employees access to data and applications anywhere, anytime.
Europe is expected to the largest market size during the forecast period.
The MVNO market in Europe is highly competitive, as the UK, Germany and France have a strong focus on Research and Development (R&D) and innovation. MVNO has a strong starting base point in the European region. It has the highest market share among all the regions, owing to the number of MVNOs present and the average net revenue per user. The increasing adoption of integrated services such as VoIP and ISP through MVNOs for enterprises is making their business processes flexible and agile. The increasing demand for managing and maintaining broadband connectivity, mobility services, and data centers is expected to drive the MVNO services market in the Europe region.
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Unique Features in the MVNO Market
MVNOs operate under diverse business models, allowing them to cater to specific market segments. They can function as full MVNOs with their own infrastructure, light MVNOs that rely on host networks for core operations, or branded resellers that focus solely on customer relationships. This flexibility enables MVNOs to target niche markets effectively.
Unlike traditional mobile network operators (MNOs), MVNOs tailor their services to specific customer segments, such as low-cost prepaid plans, enterprise solutions, IoT connectivity, or international roaming services. This targeted approach allows them to offer specialized plans that meet the unique needs of their user base.
MVNOs do not require significant investments in network infrastructure, as they lease network access from existing MNOs. This reduces operational costs and enables them to provide competitive pricing and innovative service offerings.
The growing adoption of IoT and machine-to-machine (M2M) communications has positioned MVNOs as key players in providing connectivity solutions. Many MVNOs offer dedicated IoT SIMs and services tailored for industries like healthcare, automotive, logistics, and smart cities.
Many MVNOs operate with a digital-first approach, offering app-based activations, self-service portals, and eSIM technology. eSIM integration allows customers to switch carriers and activate plans without requiring a physical SIM card, improving convenience and accessibility.
Major Highlights of the MVNO Market
The widespread integration of IoT and machine-to-machine (M2M) communications across industries such as healthcare, automotive, smart cities, and industrial automation has fueled demand for MVNO services. Many MVNOs are focusing on providing IoT-specific connectivity solutions, enabling seamless device communication and data exchange.
The emergence of digital-first MVNOs is transforming the telecom landscape. These providers operate without physical stores, leveraging mobile apps and eSIM technology for seamless onboarding, activation, and customer service. Their focus on convenience and cost-effectiveness is attracting tech-savvy and younger demographics.
MVNOs differentiate themselves by offering cost-effective plans and highly customizable services. They cater to niche markets, including budget-conscious consumers, international travelers, and businesses seeking tailored mobile solutions. Flexible pricing models and add-on services provide an edge over traditional MNOs.
With the global rollout of 5G, MVNOs are increasingly partnering with MNOs to offer high-speed connectivity and low-latency services. This development enhances opportunities in areas like streaming, gaming, IoT, and enterprise applications, further boosting market potential.
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Top Companies in the MVNO Market
The MVNO market comprises major providers, such Virgin Media Business (UK), Dataxoom (US), Lebara (UK), KDDI (Japan), Asahi Net (Japan), Virgin Mobile (US), Tracfone Wireless (US), Boost Mobile (US), Lycamobile (UK), Tesco Mobile (UK), Postemobile (UK), Airvoice Wireless (US), Asda Mobile (UK), Giffgaff (UK), Kajeet (US), Voiceworks (Netherlands), Ting (US), Red Pocket Mobile (US), Consumer Cellular (US), Hologram (US), 1oT (Estonia), Soracom (Japan), Onomondo (Denmark), Airlinq (US), EMnify (Germany), and 1NCE (Germany). To increase their market share in the MVNO industry, these competitors havae used a variety of growth methods, including partnerships, agreements, collaborations, new product releases, product enhancements, and acquisitions.
DataXoom operates as an MVNO and uses AT&T, Verizon Wireless, and Sprint networks in the US. It provides mobile broadband network connectivity for tablets and mobile hotspots, which SMEs use. It offers all its customers mobile data pricing options, pay-as-you-go plans, and gigabyte plans. It also provides large terabyte plans that can be customized for specific business needs. It also offers a multi-network platform with one unified billing and management portal. The company’s administrators can set alerts and user limits, control personal usage, and positively identify end users within an enterprise. It provides flexible plans designed for businesses by addressing changing business needs.
Lebara is an MVNO that provides telecommunication services across European countries. It also provides pay-as-you-go and contract-based mobile SIM cards. It initially started with international telephone calling cards, which were physically available in mobile shops. Initially, it tried to target students who would come to the UK for higher studies, and thus, its services started gaining traction. It slowly expanded its geographical presence by partnering with different MVNOs. It has partnered with some prominent MVNOs, such as Telenor in Denmark, Bouygues Telecom in France, Telekom in Germany, KPN in the Netherlands, Mobily in Saudi Arabia, and Sunrise in Switzerland. In March 2011, the company expanded its services by launching Lebara Money in the UK, which helps customers send money abroad. In the same month, it entered into an agreement with Nokia to distribute Nokia handsets with the branding of Lebara to customers across the UK.
Asahi Net, Inc., headquartered in Tokyo, Japan, is a prominent internet service provider (ISP) known for offering high-quality internet services and related solutions. Established in 1990, Asahi Net provides a range of services including broadband internet, fiber optic connectivity, and mobile broadband solutions. The company is recognized for its reliable and fast internet connections, as well as excellent customer service. Asahi Net also offers cloud services, managed network services, and educational network solutions, catering to both individual consumers and business clients. Its commitment to innovation and customer satisfaction has made Asahi Net a respected name in the Japanese ISP market.
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