For an Executive Summary of this report please contact ediz.ibrahim@visiongain.com (+44 (0)20 7549 9976) or refer to our website https://www.visiongain.com/Report/1311/Mobile-Virtual-Network-Operator-(MVNO)-Market-Forecast-2014-2019

1. Mobile Virtual Network Operator
(MVNO) Market Forecast 2014-2019
Future Prospects for the Industry
& Leading Companies
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2. Contents
1. Report Overview
1. 1 Global MVNO Market Segmentation
1. 2 Market Definition
1. 3 Benefits of This Report
1. 4 Why Should You Read This Report
1. 5 Who Should Read This Report?
1. 6 Methodology
1.7 Frequently Asked Questions (FAQ)
1.8 About Visiongain
2. Introduction to the MVNO Market
2.1 Current Developments in the Telecoms Market
2.2 Different Waves of MVNOs
2.3 Increasing Cooperation with MNOs
2.4 MVNOs’ Growth and Increasing Services
2.5 Overcoming Challenges
2.6 Networks Layers and Market Segmentation
2.6.1 Operators (MNOs)
2.6.2 Service Providers
2.6.3 Infrastructure Providers
2.7 Defining MVNOs
2.8 Mobile Network Value Chain
2.8.1 Brand Actor
2.8.2 Full MVNO
2.8.3 MVNE & MVNA
2.9 Fostering the MVNO Model
2.9.1 The Cost of Mobile Spectrum
2.9.2 Regulation
2.9.3 Consumer Dissatisfaction
2.9.4 Mobile Penetration
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3. Contents
3. Global MVNO Market Forecasts 2014-2019
3.1 Global Mobile Subscriptions Forecast 2014-2019
3.1.1 Global Mobile Subscription Share: MVNO vs. MNO Forecast 2014-2019
3.1.1.1 Global Mobile Subscriptions CAGR: MVNO vs. MNO Forecast 2014-2019
3.1.1.2 Global MVNO Subscription Forecast 2014-2019
3.1.1.3 Global MNO Subscriptions Forecast 2014-2019
3.2 Global Mobile Revenue Forecast 2014-2019
3.2.1 Global Mobile Revenue Share: MVNO vs. MNO Forecast 2014-2019
3.2.2 Global Mobile Revenue Growth: MVNO vs. MNO Forecast 2014-2019
3.2.3 Global MNO Revenue Forecast 2014-2019
3.2.4 Global MVNO Revenue Forecast 2014-2019
4 Regional MVNO Forecast 2014-2019
4.1 European MVNO Forecast 2014-2019
4.2 Asian MVNO Forecast 2014-2019
4.2.1 Case Study: MVNO Future in China
4.3 Middle East & African MVNO Forecast 2014-2019
4.3.1 Case Study: Mobile Money and MVNOs in Kenya
4.4 North American MVNO Forecast 2014-2019
4.5 Latin American MVNO Forecast 2014-2019
4.5.1 VMLA: the leading MVNO in Latin America
5. MVNO Regulatory Analysis
5.1 European Union Directives
5.2 Ofcom in the UK
5.3 US Federal Communications Commission
5.4 China’s Ministry of Industry and Information Technology
5.4.1 The Herfindahl-Hirschman Index (HHI) in the Chinese Market
5.5 MVNO regulation in Latin America
5.5.1 Brazil’s National Telecoms Agency (Anatel)
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4. Contents
5.6 Arguments Against Regulation
5.7 The Need for Regulatory Intervention
6 Different Types of MVNOs
6.1.1 Branded Resellers
6.1.2 Service Providers
6.1.3 Full MVNO
6.2 Integration in the Mobile Value Chain
6.3Categorisation of MVNOs
6.4 MVNO Marketing strategies
6.4.1 Cost Leadership
6.4.2 Differentiation
6.5 Key Success Factors
6.5.1 Differentiation
6.5.2 Pricing Principles
6.5.3 Core Network Sharing
6.5.4 Adapting to Change
6.6 Analysis of Costs
7 Opportunities & Challenges for the MVNO Market
7.1 Are MVNOs Disrupting MNOs?
7.2 Data Consumption Driving the Evolution of the MVNO
7.2.1 The Role of the Internet Protocol
7.2.1.1 Increasing Demand for MVoIP
7.2.1.2 MVNO Business Model & MVoIP Offerings
7.2.2 Data Services
7.2.2.1 Data-Only MVNO
7.2.3 MVNO Potential in M2M
7.2.4 The 3G and 4G Wholesale Market
7.2.4.1 Value Propositions to MVNOs
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5. Contents
7.3 Cloud Strategies for MVNOs
7.3.1 Decreasing CAPEX Through the Cloud
7.4 New Technologies & MVNOs
7.4.1 Augmented Reality
7.4.2 M-Commerce
7.4.3 The App Phenomenon
7.5 Capitalising on a Brand Strategy
7.5.1 Leveraging Brand Awareness
7.5.2 Building a Brand Name
7.5.3 Challenges in Repositioning and Launching a Dedicated Brand
7.6 A Constant Evolving MVNO Model
7.6.1 The Importance of Successful Partnership
7.7 Failure and Success of MVNOs
7.7.1 Market timing
7.7.1.1 Understanding the Target Audience
7.7.1.2 Evaluating Different KPIs
7.7.2 Strategic Assets
7.7.2.1 Targeting Existing Customer Base with VAS is not Sufficient
7.7.2.2 Avoiding Copycats
7.7.2.3 Complementing Strategic Assets
7.7.3 Execution Capabilities
8. Leading MVNO Companies
8.1 LycaMobile
8.1.1The LycaMobile Model
8.2 Virgin Mobile
8.2.1 Virgin Mobile Regional Operations
8.3 Truphone
8.3.1 Truphone Offerings
8.4 TracFone
8.4.1 TracFone Brands and Segments
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6. Contents
8.5 Boost Mobile
8.5.1 Boost Mobile: Services Marketing and Segmentation
8.6 FRiENDi
8.6.1FRiENDi Partnership with Virgin Mobile
8.7 Giffgaff
8.8 Lebara
8.8.1 Lebara Expansion
8.9 KDDI Mobile
8.9.1 KDDI Mobile Unique Selling Points
8.10 Tesco Mobile
8.10.1 Tesco Mobile Regional Operations
9 Conclusions and Recommendations
9.1 Market Outlook
9.2 Critical Factors for Success
9.3 MVNO Challenges
9.4 The importance of the Right Business Model
9.5 Successful Market Expansion Strategies
9.5.1Service Development Strategy
9.5.2 Market Development Strategy
9.5.3 Diversification Strategy
9.5.4 Market Penetration Strategy
9.6 Regulatory Recommendations
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7. Mobile Virtual Network Operators (MVNO) Market
2014-2019: Future Prospects for the Industry &
Leading Companies
Chart 4.20: Middle East and African MVNO Subscription Forecast 2014-2019
(Million, AGR %)
2.20
25%
20%
15%
10%
5%
6
5
4
3
2
1
The ongoing conflict and geopolitical situation in the Middle East is also hampering the
development of MVNOs in the region. For example, Israel was expected to increase its MVNO
base to more than 10%, but with the present situation it could be difficult for companies to obtain
finance and create stable forecast to convince investors. Egypt was also believed to be a strong
candidate for the MVNO growth as it had the largest population in the region; but due to its social
revolution the advancements in the industry have been vanished.
Page 72
Source: Visiongain, 2014
www.visiongain.com
2014 2015 2016 2017 2018 2019
2014-
2019
Middle East and Africa
0.36 0.39
0.44
0.49
0.55
0.61 0.25
MEA AGR % 7.9% 13.6% 10.8% 13.0% 11.1%
CAGR (%) 2014-2016 10.7%
2016-
2019 11.6%
CAGR (%) 2014-2019 11.2%
Source: Visiongain, 2014
2.49
2.86
3.49
4.08
4.83
0%
-
2014 2015 2016 2017 2018 2019
AGR%
Subscriptions inMillions
Africa And Middle East Subscriptions AGR(%)
Table 4.21: Middle East and African MVNO Revenue Forecast 2014-2019 (Billion,
AGR %, CAGR%, New Extra Revenues)

8. Mobile Virtual Network Operators (MVNO) Market
2014-2019: Future Prospects for the Industry &
Leading Companies
Page 107
3.4
20
18
16
14
12
10
8
6
4
2
Source: Visiongain, 2014
60%
50%
40%
30%
20%
10%
Source: Visiongain, 2014
www.visiongain.com
5.2
6.8
10.6
13.8
18
0
2014 2015 2016 2017 2018 2019
ExaBytes per Month
Mobile Data Traffic (ExaBytes/Month)
0%
Video File Sharing Audio Web
Browsing
Social
Networking
other
% of Total Mobile Data Traffic
2014
2019
Chart 7.8: Global Mobile Data Traffic Forecast 2014-2019 (EB per Month)
Chart 7.9: Global Mobile Data Traffic by Type 2014 vs.2019 (% of Total Mobile
Data Traffic)

9. Mobile Virtual Network Operators (MVNO) Market
2014-2019: Future Prospects for the Industry &
Leading Companies
8.2.1 Virgin Mobile Regional Operations
Each regional Virgin Mobile operation acts independently from the others, therefore handsets,
service plans and network radio interfaces vary from country to country. In each region the Virgin
Mobile MVNO is typically a partnership between Richard Branson's Virgin Media Group and an
existing MNO. See Table 8.3 for a detailed summary of current regional Virgin Mobile operations.
Page 124
Table 8.3: Virgin Mobile Company Information (HQ, Ticker, Revenues, Subs, IR,
Website, Areas Served)
Region Launched Parent network Products
Australia 2000 Optus Prepaid and postpaid mobile phones and
www.visiongain.com
broadband.
Canada 2005 Bell Mobility Inc Postpaid and prepaid wireless voice, text and
data communications.
Chile 2012 Movistar Prepaid and postpaid mobile phones.
Colombia 2013 Movistar Prepaid and postpaid mobile phones.
France 2006
OMEA TELECOM (Virgin
Group /
The Car phone
Warehouse )
Prepaid and postpaid mobile phones and
broadband.
India 2011
Virgin Group / Tata
Teleservices
Mobile telephony, broadband and internet
services.
Mexico 2014 Movistar Prepaid and postpaid mobile phones.
Poland 2012 PLAY Mobile telephony, broadband and internet
services.
South Africa 2006 Virgin Group / Cell C Prepaid and postpaid mobile phones.
UK 1999 Everything Everywhere Mobile telephony.
USA 2002 Sprint Nextel Prepaid, wireless voice, messaging and
broadband data products.
Source: Virgin Mobile, Visiongain, 2014