Following the licensing of new companies to drive the Mobile Virtual Network Operator (MVNO) sub-sector of the Nigerian telecoms industry by the regulator, the Nigerian Communications Commission (NCC), investigations conducted by Business Hilights and opinions sampled across the industry showed that aside rise in employments, the new sub sector will deepen digital inclusion.
Mobile Virtual Network Operator (MVNO) is a telecommunications product and service operator that rides on top of the infrastructure capacity of a fully-licensed mobile telecommunication service provider or mobile network operator (MNOs). This means that the operators will not need investments in their infrastructure but leverage existing facilities across the country to provide services.
According to Fortune Business Insights, the global MVNO market size is projected to rise from $67.54 billion in 2020 to $123.40 billion in 2028, at a CAGR of 7.9% during the forecast period, 2021-2028.
As of June 2014, 943 MVNOs and 255 MNO sub-brands were active worldwide. This represents a total of almost 1,200 mobile service providers worldwide hosted by MNOs, up from 1,036 in 2012.
Accordingly, GSMA Intelligence noted that between June 2010 and June 2015, the number of MVNOs worldwide increased by 70%, reaching 1,017 in June 2015. As of December 2018, 1,300 active MVNOs were operating in 79 countries, representing more than 220 million mobile connections—approximately 2.46% of the total 8.9 billion mobile connections in the world.
The eight countries with the largest number of active MVNOs are the US with 139 MVNOs (4.7% market share), Germany with 135 (19.5%), Japan with 83 (10.6%), the UK with 77 (15.9%), Australia with 66 (13.1%), Spain 63 (11.5%), France 53 (11.2%) and Denmark 49 (34.6%).
