Virgin plans MVNO in India
Richard Branson's Virgin Group is one of the most successful and fun-to-be-around-groups in the business world today. His ventures are not always successful but clearly, he has the passion to change business models and to be an ideal for any inspiring entrepreneur.
Virgin Mobile is one of the most successful MVNO in the UK, and also in the UK. To those of you who are unfamiliar with the expression. MVNO stands for Mobile Virtual Network Operator. An MVNO is a mobile service operator that does not have its own licensed spectrum and does not have the infrastructure to provide mobile service to its customers but runs its business by leasing lines from its competitors. It is an interesting business model, because instead of the need to spend on maintainance of the infrastructure -costs which are included in the leasing charges -, it basically only needs take care of customers and branding, so to speak. And it must do a better job in providing services to customers, since an MVNO also charges slightly higher charges than the "original" operator. A conflict of interest arises when the MVNO is so successful that the company on whose network it runs faces challenges with their own capacity - a situation that arose in the UK, for instance.
Anyway, Virgin Mobile failed in Singapore about 2 years back - the messages were a little bit too hip for the country. However, they now are back and this time, they target India. "Richard Branson has said he is in talks with telecoms license holders in India over the possibility of leasing network capacity for a Virgin operation."
India - be ready for a ride on the hip side of life!
(By Asia Business Consulting)
Virgin Mobile is one of the most successful MVNO in the UK, and also in the UK. To those of you who are unfamiliar with the expression. MVNO stands for Mobile Virtual Network Operator. An MVNO is a mobile service operator that does not have its own licensed spectrum and does not have the infrastructure to provide mobile service to its customers but runs its business by leasing lines from its competitors. It is an interesting business model, because instead of the need to spend on maintainance of the infrastructure -costs which are included in the leasing charges -, it basically only needs take care of customers and branding, so to speak. And it must do a better job in providing services to customers, since an MVNO also charges slightly higher charges than the "original" operator. A conflict of interest arises when the MVNO is so successful that the company on whose network it runs faces challenges with their own capacity - a situation that arose in the UK, for instance.
Anyway, Virgin Mobile failed in Singapore about 2 years back - the messages were a little bit too hip for the country. However, they now are back and this time, they target India. "Richard Branson has said he is in talks with telecoms license holders in India over the possibility of leasing network capacity for a Virgin operation."
India - be ready for a ride on the hip side of life!
(By Asia Business Consulting)
posted by Andreas @ 3:16 pm
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