Imagine a media company diversifying its revenue streams by becoming a mobile virtual network operator (MVNO) like FNB Connect, Virgin Mobile, me&you Mobile, SmartMobile and mrpmobile. MVN-X is assisting a South African media firm to do just that. By Gugu Lourie
Former Virgin Mobile boss Steve Bailey, who was instrumental in the launch of Me&You Mobile and MRP Mobile through his firm MVN-X, is assisting a local media firm to launch a successful MVNO.
Bailey disclosed in an interview to TechFinancials.co.za that MVN-X was working hard to establish another MVNO in South Africa.
“We are very upbeat about it. So, we’ve got a new MVNO launching in February, which is going to be quite interesting,” reveals Bailey.
“It’s actually a media company. It makes sense if you are a media company you’ve got advertising. So one of the key thing that mobile needs is advertising; you can use your advertising to to drive mobile.
“It’s a media asset that’s going to launch an MVNO either it’s a newspaper, magazine or radio. I won’t tell but its coming in February 2016.”
It is easy to imagine the possible launch of Daily Sun Mobile, Metro FM Mobile, Sowetan Mobile or YFM Mobile.
Bailey told TechFinancials.co.za that a number of retailers, banks and other companies are showing an interest in a South African mobile market that is worth more than R100 billion a year and targeting 1% or R1 billion of the MVNO space.
MVNOs, which piggyback on Cell C’s network to offer mobile data and voice services, remains a niche market for existing and new players
MVN-X, which was founded 18 months ago, aims to form mutual beneficial partnerships with leading retailers and brands diversifying into the mobile space.
It acts as a middleman between the mobile phone operators and MVNOs by offering the technology, infrastructure and operating systems.