| What's an MVNO? I don't know but I can spell it!
By James
Mosieur
Get the acronym machine cranked up again, the wireless industry has another one for us; MVNO. When I first heard the term a few years ago I was puzzled as to its meaning. Since it had no “W” I wondered how it had anything at all to do with wireless.
One day I stumbled upon its meaning; MVNO is short for Mobile Virtual Network Operator. An MVNO basically buys service from an existing cellular carrier and resells it under their brand name.
In times past these types of companies have simply been called resellers. A term that needs little or no explanation; quite simply a reseller “resells” the service of another company. But the deft and uncomplicated term “reseller” lacks the sizzle and sophistication that wireless demands. After all, this is an industry that builds billion dollar brands out of misspelled words like Cingular and RAZR.
Below is a brief round up of some of the current MVNO’s that are piggybacking on the nations most popular cellular networks.
ESPN Mobile launched during Super Bowl XXL, ESPN’s MVNO offers several sports related data products. It is targeted at sports fans and will provide real-time sports news and scores, the ability to keep up with fantasy leagues, as well as a broad selection airtime plans. The sports features come standard with all plans.
Disney Mobile is planning child friendly cell phone service to debut this summer. The wireless service will be marketed to families with Disney content and family-usage controls.
Dexa Wireless - Mexican-owned mobile virtual network operator launched commercial operations in May 2006 in Los Angeles. The company targets the Hispanic population with prepaid service under its Va Contigo commercial brand. Dexa noted prepaid service is popular in Mexico and other Latin American countries and that the company believes the popularity for prepaid service among Hispanic customers will translate into the U.S. market.
Youth oriented Helio is touting their tight integration with MySpace.com as well as the wide array of 3D and 2D games that are offered for their phones. Games cost US$5.99 to purchase, and can be trialed for a one week period for only 99 cents.
Amped Mobile is an integrated mobile entertainment company for youth, young professionals and early adopters, and the only 3G MVNO in the U.S. specifically targeting that demographic. Amp'd Mobile offers traditional services such as voice and text plus many 3G type services.
Boost Mobile Based in Irvine, California, is a lifestyle-based youth brand presently focused on offering premium communications products and services. Boost’s products fuse youth aspiring sports, music, fashion and entertainment. Boost’s popularity among American youth has generated rapid success, making it one of the fastest growing wireless services in the U.S.
An Apple MVNO is rumored to be on the horizon. There are also a lot of leaked pictures of Apples secret iPod phone on the net. It seems like a natural extension of the iPod brand.
Virgin Mobile is the largest MVNO in the U.S., renting airtime from Sprint and targeting younger, hipper customers. The London-based company is doing brisk business with more than three million American subscribers—and other major media companies are catching on.
7-Eleven Speak Out prepaid service has been advertised as ready for immediate activation and use after purchase. The MVNO has been so successful that 7-Eleven recently began a similar service in Canada said a company spokesman.
James Mosieur is CEO of CellForCash.com . He has been in the electronics recycling business since 1985. James writes and speaks on cell phone recycling and related subjects particularly as they relate to the individual consumer.
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