426 Telecom Strategies & Trends Titles

MVNOs in Eastern Europe: limited success so far – Change of strategy required

Published: 2011-02-15

This article presents the development of Mobile Virtual Network Operators (MVNOs) in Bulgaria, Hungary and Poland as these three countries, though different in MVNO take up, have the highest number of MVNOs in Eastern Europe. These countries also represent some of the key trends in MVNO strategies in the region, with the no-frills strategy in Bulgaria and Poland, data focus in Hungary and VAS- oriented MVNO in Poland.

MVNOs are companies that provide mobile services by buying access, wholesale minutes and capacity in general from Mobile Network Operators (MNOs), i.e. the host carriers. MVNOs do not possess licensed spectrum frequency and a mobile network infrastructure. The MVNO model is a service and customer-oriented model, focused on customer management, while the technical aspects of the business are left to MNOs. The MVNO business model varies depending on the extent of the involvement of the MVNO in the value chain, Tab. 1 presents the common types of MVNOs.

Published: 2011-02-15

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