MVNOs in Growth Markets: Challenges for Regulators and Operators

MVNOs in Growth Markets: Challenges for Regulators and Operators published by Analysys Mason in March, 2009. This report price starts from US $ 2461.

Introduction

Abstract

“MVNOs are becoming a key issue in an increasing number of growth markets. Regulators, existing operators and potential new entrants need to be mindful of experience from developed markets and be ready for the challenges that lie ahead.” Daniel Jones, Analyst.

MVNOs in growth markets: challenges for regulators and operators draws on experience from European markets to consider the potential for MVNOs in countries around the world where they have not yet been launched. The report examines the regulatory aspects surrounding MVNO entry, including the case for licensing MVNOs, and what market impact they may have. It also considers how mobile network operators and new-entrant MVNOs can achieve success in a growth-market setting.

• Is there evidence that MVNOs lead to lower tariffs in a market? And if so, how can regulators best ensure that the introduction of MVNOs brings about these competitive benefits?
• Could MVNO licensing be a substitute for licensing mobile network operators in lower-income markets?
• What are the key success factors for MVNOs and who is most likely to fulfil these criteria?
• How can mobile network operators in growth markets best use MVNOs?

Author

Daniel Jones (Analyst) is the lead analyst for Analysys Mason' s Global Growth Markets research programme, which focuses on helping clients to capitalise on opportunities that are available in Africa, Central Asia, Eastern Europe and the Middle East. He has produced research for Analysys Mason covering issues that affect growth markets, including market liberalisation, MVNOs, mobile payments and new entrant strategies. Daniel regularly contributes to the international press on a wide range of telecoms subjects and has been quoted by The Times, Business Week, Total Telecom and Telecommunications Online. His academic background is as an economist, and he has degrees from the University of Nottingham and Universidad Autonoma de Madrid.

Table of Contents

About Analysys Mason

0. Summary

1. Regulators must decide if MVNOs are necessary in their markets

• 1.1 What are MVNOs and why legislate to allow them?
• 1.2 Lessons about the impact of MVNOs can be learned from mature markets

2. What strategies have MVNOs adopted so far?

• 2.1 MVNOs' strategies hinge on their existing strengths
• 2.2 Potential MVNOs must select the right market and host MNO
• 2.3 A complete strategy based on several strengths is most likely to lead to success for MVNOs

3. MNOs should position themselves to benefit from MVNOs' arrival

• 3.1 MVNOs may be problematic for MNOs, but can also be seen as an opportunity

• Actions
• Key to acronyms
• Research from Analysys Mason
• Consulting from Analysys Mason

List of Figures and Tables

• Figure 0.1: Retail revenue per minute since MVNOs have been launched in selected markets
• Table 1.1: Properties of SPs, MVNOs and MNOs
• Figure 1.1: The number of subscribers to MVNOs and retail revenue per minute in the German mobile market, 1Q 2004 - 2Q 2008
• Table 1.2: MVNO tariffs in Germany at March 2009
• Figure 1.2: MVNOs' share of net additions compared with retail revenue per minute in the German mobile market, 1Q 2004 - 2Q 2008
• Figure 1.3: Retail revenue per minute since MVNOs have been launched in selected markets
• Figure 1.4: Correlation between retail revenue per minute when MVNOs were introduced into selected European markets and price falls over subsequent seven quarters
• Figure 1.5: Market share of MNOs and MVNOs in Denmark, 1999 - 2005
• Figure 1.6: Retail revenue per minute in Denmark and Western Europe, 1Q 2004 - 2Q 2008
• Table 1.3: Key events in the Danish mobile market
• Table 2.1: Aspects of market structure that should be considered by prospective MVNOs
• Table 2.2: MVNO types and competencies

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