How MVNOs are Staying Relevant in 2019 & Beyond

Becoming a virtual mobile network operator (MVNO) in the U.S. telecom and communications sector is a feat that not everyone can achieve successfully. Whether you are a big tech conglomerate or a famous entertainment giant, your current level of success might not be relevant in the competitive MVNO segment.


Well, running a MVNO service is more than just leasing the required network infrastructure. It is more work than designing lucrative pricing packages. And it is more time consuming than holding flashy pitch meetings.

But there’s a key to appreciating the importance of these requirements. It lies within understanding how these factors played out against those who did not pay attention to them. From there, it is a matter of avoiding those mistakes to run your own successful MVNO platform.

With this in mind, let’s take a look at some of the most hyped MNVOs of the past, how they met their downfall, and how you can avoid a similar fate with your telecom venture.

First Things First: What is a MVNO?

If you made it to this post, then you might already know what is an MVNO is and how it works. But let’s do a quick refresher to jog your memory.

Simply put, a MVNO works through a virtual telecom network that relies on traditional network infrastructure to run its operations. For instance, in the U.S., a MVNO typically relies upon the physical infrastructure of companies such as AT&T, T-Mobile, Verizon, and Sprint. The MVNO rents out a part of the physical infrastructure’s resources at wholesale pricing and sells it at a retail price to its target audience.

In other words, a MVNO is simply a large-scale reseller. What sets it apart from its original network partners or other counterparts are the services that it offers.

Why Do MVNOs Attract So Many Investors?

Those who know about the ins and outs of MVNO companies would know how several entities in the past took MVNOs as a “get rich quick” scheme.

The program was simple. Just spend a large amount of capital, lease existing infrastructure, and market your services to your target audience.

But if only it were as straightforward as that.

Not getting a realistic picture of the requirements, companies such as ESPN, Amp’d, and Disney all went down the path to launch their MVNO service anyway. Much to the predictions of industry experts, they all ended up failing rather spectacularly.

The main reason behind their disappointing results and subsequent shutdown were a lack of planning, vision, and long-term sustainability in terms of infrastructure support.

Whenever a company is about to launch a MVNO platform – it is necessary to get all its affairs in order.

In simple terms, experts advise any investors only to enter the sector if they are doing so with a clear plan of long term operations. If they don’t have a sustainable and easy way to run their MVNO companies, then it is more or less a doomed operation.

With that, if they keep a few factors in mind, then they could very well turn their new venture into a long term business.

How Can MVNOs Succeed in Today’s Day and Age?

Apart from well-devised planning, targeted marketing, and super-smooth presentations, running a MVNO service requires you to put in the work with a holistic approach towards your operations.

There’s no denying that you need to be at the top of your game in terms of networking and communications. But at the same time, you also have to be extremely focused on your customers’ expectations.

Similarly, you have to strike the perfect balance between uptime and quality, coverage and delivery, as well as billing and marketing.

Companies that follow these guidelines have shown particularly successful metrics against their efforts. This is especially true in markets outside of the U.S., which is judged by how the current number of MVNOs surpasses the psychological figure of 1,000 different providers. To put matters in perspective, these MVNO companies collectively serve over 10 percent of mobile users all over the world.

How to Make Your Mark in a Market Such as the U.S.?

When it comes to the success of a MVNO platform, the U.S. market is a bit different. New players in the telecom sector not only have to offer lucrative prices, but they also have to provide more flexible data plans. They have to deliver exceptional clarity in voice services. At the same time, they also need to provide consistent uptime in data and billing services.

Here’s the kicker. They have to do all of that while having exceptional support over pricing and quality. While this sounds extremely difficult, it is not impossible at all. MVNOs such as Google Fi is proof of that.

At Telgoo5, we exhibit all the necessary tools to turn your budding MVNO service into a success story. With exceptional billing, infrastructure, and a holistic MVNO platform, we make the process of launching your MVNO companies as easy as the click of a few buttons.

Apart from exceptional onboarding, we also take pride in our easy to use MVNO service management solutions. Whether you want to optimize your services, increase your number of customers, or expand your outreach, we are there for you every step of the way. With dedicated account managers and 24 x 7 NOC support, we are just a call away from helping you with any pressing issue.

Whether you want to launch your MVNO platform, or need to optimize your current service, feel free to reach out to us today.

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