Other potential players are those operators who either lost out on, or declined to participate in, auctions for 3G spectrum. Some network operators, such as New World Mobility of Hong Kong have indicated that, if 3G licenses are priced out of range, they will consider adopting an MVNO strategy. For those operators who don't have a 3G license, the blending of their existing 2 and 2.5G technology, with some content delivery and web access, with an MVNO strategy may enable them to compete effectively. The opportunity for MVNOs is substantial. This has resulted in some significant players in the more advanced European MVNO market.
Sense is established in several Nordic countries.
And then there is Virgin, which has operations in the UK, France and Australia and plans for the South Asian markets. It remains to be seen how these future 3G operators will coordinate with the MVNOs that will arise. In the Canadian MVNO space, Richard Branson's Virgin Mobile has indicated that the company is positioning itself as the early leader with a planned launch under the Virgin brand, offering discounts on books, CDs and videos to subscribers. The notion of a grocery store, hockey team, airline or university alumni MVNO begins to look less far-fetched than on first glance. Equity Research Center Inc. All rights reserved.