Friday, July 17, 2009

Mobile Virtual Network Operator (MVNO)

In recent news, Comcast became the first cable MVNO (Mobile Virtual Network Operator) in the U.S. to offer high-speed WiMax services announcing “Comcast High-Speed 2go”.

http://www.wimax.com/commentary/blog/blog-2009/june-2009/comcast-launches-first-wimax-market-0630

MVNO (Mobile Virtual Network Operator): an organization that buys minutes and services wholesale from an existing carrier (or carriers) and resells them under its own brand. Under GSM, for example, it may issue its own SIM card. A MVNO is basically a reseller. It does not have radio frequency (spectrum) nor does it have its own communications plant. It usually has its own billing system, however. A company that does have its own frequency allocation is simply known as a Mobile Network Operator (MNO). Any of the wireless technologies used on the existing network can be used by the MVNO (e.g. CDMA, GSM, UMTS, etc)

Examples of MVNO’s:

- Boost Mobile
- Mobile PCS
- Virgin Mobile

MVNO’s are typically autonomous entities that works independently of the MNO, giving it the ability to set its own pricing structure, subject to the rates of the network operator. Some MVNO’s run their own Billing and Customer Care solutions known as BSS (Business Support Systems). However, many use a MVNE (Mobile Virtual Network operator Enabler) which we will discuss on Monday.

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