Global Mobile Virtual Network Operators (MVNO) Market Size By Operational Model (Reseller, Service Provider, Full), By Subscriber (Business, Individual/Residential), By Service Type (Postpaid, Prepaid), By Geographic Scope And Forecast

Mobile Virtual Network Operators (MVNO) Market Size And Forecast

Mobile Virtual Network Operators (MVNO) Market size was valued at USD 73.47 Billion in 2024 and is projected to reach USD 132.02 Billion by 2032, growing at a CAGR of 7.6% from 2026 to 2032.

Mobile Virtual Network Operators (MVNOs) are companies that offer mobile communication services without having their wireless network infrastructure. Instead, they lease capacity from existing Mobile Network Operators (MNOs) and offer it under their brand. This arrangement enables MVNOs to offer cheap prices and personalized services to specific areas while avoiding the substantial expenses associated with constructing and maintaining a mobile network.

Furthermore, MVNOs contribute significantly to increased competition in the telecommunications sector by providing a variety of plans tailored to different customer segments, such as budget-conscious users or specific demographic groups. They frequently focus on prepaid plans, which offer flexibility and cost savings to users who do not want standard contracts.

Global Mobile Virtual Network Operators (MVNO) Market Dynamics

The key market dynamics that are shaping the mobile virtual network operators (MVNO) market include:

Key Market Drivers:

Increasing Mobile Phone Penetration and Data Usage: Smartphone adoption and data consumption are fueling the MVNO market. The International Telecommunication Union (ITU) reports that global mobile-cellular subscriptions reached 8.3 billion in 2022, with a penetration rate of 105 subscribers per 100 inhabitants. According to the GSMA, mobile internet users are predicted to increase from 4.3 billion in 2022 to 5.2 billion in 2025. This growing mobile user base enables MVNOs to provide competitive and specialized services.

Growing Demand for Affordable and Flexible Mobile Plans: Consumers are increasingly looking for affordable and personalized mobile plans, which MVNOs are well-positioned to provide. According to the Federal Communications Commission (FCC), in the United States, MVNOs' average revenue per user (ARPU) is typically 30-40% lower than that of established mobile network carriers. According to a European Commission study, in EU countries where MVNOs have a market share of more than 10%, mobile prices are 17-21% lower than in countries with less MVNO presence.

Regulatory Support for Market Competition: Many countries are developing laws to increase competition in the telecommunications sector, which benefits MVNOs. For example, the UK's Office of Communications (Ofcom) reported that MVNOs accounted for 15.1% of all mobile subscribers in 2021, up from 12.5% in 2016. This expansion is largely due to regulatory initiatives that encourage competition. Similarly, the Canadian Radio-television and Telecommunications Commission (CRTC) mandated that the country's major wireless carriers give MVNOs access to their networks, which is predicted to boost MVNO market share from less than 1% in 2021 to 5-10% by 2025.

Key Challenges:

Network Dependence: MVNOs rely primarily on established Mobile Network Operators (MNOs) to provide network infrastructure. This dependence limits service quality and coverage because MVNOs must adhere to MNO agreements. Furthermore, at peak consumption times, MVNOs suffer higher prices or face limited service capabilities, lowering customer satisfaction and retention.

Brand Recognition: Competing against well-established MNOs is a challenge for MVNOs in terms of brand awareness and trust. Many consumers are better familiar with larger airlines, which have large marketing expenditures and high exposure. As a result, MVNOs must invest significant resources in marketing techniques to differentiate themselves and build a loyal client base, which is a difficult undertaking in a competitive industry.

Key Trends:

Growth of 5G Technology: The deployment of 5G networks has a huge impact on MVNOs, allowing them to provide high-speed data services with low latency. This improvement enables MVNOs to meet the growing demand for data-intensive services like streaming and gaming. As consumers desire faster and more dependable mobile connectivity, MVNOs employing 5G technology are likely to experience significant growth, with forecasts predicting a CAGR above 10% between 2023 and 2030.

Personalization and Niche Marketing: MVNOs are increasingly focused on specialized offerings and particular markets to distinguish themselves from established carriers. MVNOs can attract a varied user base by providing bespoke plans that satisfy specific consumer needs, such as low-cost options, specialized services for the elderly, or gaming plans. This trend is driven by increased consumer expectations for tailored mobile experiences, leading to a more competitive environment in the telecoms business.

Integration of IoT and eSIM Technology: The integration of Internet of Things (IoT) solutions with eSIM technology is revolutionizing the MVNO market. MVNOs are leveraging the increased demand for connected devices by delivering services that support IoT applications, hence expanding their service offerings. eSIM technology streamlines device connectivity and maintenance, allowing MVNOs to provide a consistent customer experience across several devices. This trend is projected to encourage more innovation and growth within the sector as connectivity demands increase.

lobal Mobile Virtual Network Operators (MVNO) Market Regional Analysis

Here is a more detailed regional analysis of the mobile virtual network operators (MVNO) market:

North America:

According to Verified Market Research, North America is estimated to exhibit substantial growth within the mobile virtual network operators (MVNO) market during the forecast period. North American consumers are increasingly looking for mobile services that are flexible, personalized, and cost-effective, which MVNOs excel in providing. According to the Federal Communications Commission (FCC), the number of MVNO subscribers in the United States increased from 36.3 million in 2017 to 43.5 million in 2020, a 20% rise in three years. The Canadian Radio-television and Telecommunications Commission (CRTC) announced that MVNO subscriptions in Canada climbed by 12% between 2019 and 2020, showing an increasing consumer desire for alternative mobile service providers.

Furthermore, the expansion of Internet of Things (IoT) devices and Machine-to-Machine (M2M) connections is propelling the MVNO market. The U.S. Bureau of Labor Statistics predicts that IoT jobs will increase by 31.4% between 2019 and 2029, indicating a rapid rise in this region. According to the CTIA (Cellular Telecommunications Industry Association), there will be 190 million IoT connections in the United States by 2021, up 111% from 90 million in 2018. This increase in IoT use opens up prospects for MVNOs to specialize in offering connectivity solutions for these devices.

Asia Pacific:

The Asia Pacific region is estimated to dominate the market during the forecast period. The Asia Pacific region is experiencing a significant increase in mobile customers and internet users, creating a favorable environment for MVNOs. According to the GSM Association (GSMA), the Asia-Pacific region is predicted to add 663 million new mobile customers between 2020 and 2025, totaling 3.27 billion subscribers. According to the International Telecommunication Union (ITU), internet penetration in the Asia-Pacific region increased from 37.1% in 2015 to 54.9% in 2021. This growing user base creates numerous chances for MVNOs to deliver personalized services and gain market share.

Furthermore, the Asia Pacific region's diverse population and varying economic situations fuel the need for affordable personalized mobile services, which MVNOs excel at providing. According to the World Bank, 58% of the population in East Asia and the Pacific had access to mobile broadband by 2021. However, there is still a large untapped market, particularly in underdeveloped countries. For example, in India, the Telecom Regulatory Authority of India (TRAI) indicated that MVNOs helped to increase rural teledensity from 57.13% in 2018 to 59.39% in 2021, emphasizing their significance in providing cheap services to underserved areas.

Global Mobile Virtual Network Operators (MVNO) Market: Segmentation Analysis

The Mobile Virtual Network Operators (MVNO) Market is segmented based on Operational Model, Subscriber, Service Type, and Geography.

Mobile Virtual Network Operators (MVNO) Market, By Operational Model

• Reseller MVNO
• Service Provider MVNO
• Full MVNO

Based on the Operational Model, the market is segmented into Reseller MVNO, Service Provider MVNO, and Full MVNO. The Full MVNO segment is estimated to dominate the mobile virtual network operators (MVNO) market due to their capacity to operate independently while maintaining complete control over their services and customer connections, allowing them to provide personalized plans and features. Full MVNOs can offer greater call control and pricing freedom, making them appealing options for consumers looking for customized mobile solutions. As the industry evolves, this segment is likely to grow further, owing to rising demand for diversified mobile services and competitive pricing.

Mobile Virtual Network Operators (MVNO) Market, By Subscriber

• Business
• Individual/Residential

Based on Subscriber, the market is divided into Business and Individual/Residential. The business segment is estimated to dominate the market during the forecast period due to the growing demand for mobile communication services among businesses looking to boost productivity and streamline operations. MVNOs cater to this segment by providing customizable plans, dedicated support, and specialized services that traditional carriers may not offer. As businesses prefer efficient communication solutions, MVNOs are well-positioned to address these changing demands, cementing their market leadership.

Mobile Virtual Network Operators (MVNO) Market, By Service Type

• Postpaid
• Prepaid

Based on Service Type, the market is segmented into Postpaid and Prepaid. The prepaid segment is estimated to lead this segment in the forecast period due to the flexibility and control that prepaid plans provide, allowing consumers to better monitor their consumption and expenses. These plans are especially appealing to those who are on limited funds or prefer pay-as-you-go solutions. Furthermore, several MVNOs intentionally target specialized markets with tailored offerings, increasing their appeal and client loyalty in this segment.

Key Players

• The "Mobile Virtual Network Operators (MVNO) Market" study report will provide valuable insight with an emphasis on the global market. The major players in the market are Virgin Mobile, Tracfone Wireless, Inc., Cricket Wireless LLC, Boost Mobile, Visible Wireless, Inc., Ting Mobile, Slingshot Wireless, Mint Mobile Wireless LLC, Lycamobile Group, and Airtel.

Our market analysis also entails a section solely dedicated to such major players wherein our analysts provide an insight into the financial statements of all the major players, along with product benchmarking and SWOT analysis. The competitive landscape section also includes key development strategies, market share, and market ranking analysis of the above-mentioned players globally.

• Mobile Virtual Network Operators (MVNO) Market Recent Developments
• In October 2023, Fliggs Mobile announced a collaboration with T-Mobile to launch its Web3 MVNO. Fliggs Mobile has integrated a non-custodial wallet into their mobile app, providing clients with a secure and convenient gateway to Web3.
• In March 2023, T-Mobile U.S. agreed to acquire Ka'ena Corporation and its subsidiaries, including Ultra Mobile, Mint Mobile, and wholesaler Plum. T-Mobile is acquiring the brand's sales, digital, marketing, and service options. The firm will use its supplier ties and distribution to help the brand develop and offer competitive prices to U.S. customers seeking value offerings.