Over the next two years, the Brazilian market will have 40 to 50 virtual mobile operators (MVNO, the English acronym of mobile virtual network operator) in activity. It is a betting of an industry expert, Liudvikas Andriulis, Marketing Director of Effortel, a Belgian company, responsible for successful MVNO in Belgium, Poland, Italy and Taiwan. Liudvikas spoke about the arrival of companies in Brazil at the InTouch Business Forum 2011, Congress held last month in Miami (USA). According to him, as it may seem an exaggeration, the number is compatible with the size of the Brazilian market. "Brazil has great potential because of the diversity observed in the country. There are many foreigners and too much money floating around there," he said.
This dynamism observed by Andriulis is just that the virtual mobile operators are looking for. They operate in specific niches, leveraging segments unattractive for large companies. The business model is based on the rent of the existing infrastructure of other companies such as antennas, radios, towers, fiber cables, and equipment often needed for the communication of users. The approval of the National Telecommunications Agency (Anatel), at the end of last year, gave the green light to the entry of MVNOs in Brazil, known abroad. As a result, big brands such as banks and retail companies would be allowed to sell their own devices and plans directly to customers. However, rather than intensify the competition for the best rate, these brands want to use the phone as a new tool of user loyalty.
Liudvikas cited examples of how the model is being used overseas by Carrefour. With the chip sold in its stores, the cost of adding a customer is almost zero. At the time of purchase, consumers can still make claims of minutes depending on the amount of purchase. "People are taking a few more things to earn more minutes," he said.
Today, there are approximately 700 mobile operators active in the virtual world, amounting to 2% of the total number of mobile phone users. Commanded by British billionaire Richard Branson, Virgin Group announced that it will have an MVNO in Brazil. The country is the number one focus of the company's operations in Latin America, which will be built in partnership with the Tribe and Mobile consume investment of US$ 300 million over the next five years.
According to the president of the Mobile Tribe, Phil Wallace, the operations in Brazil should be established only in 2012. Previously, the company must obtain licenses in the FCC and a close partnership that will provide the infrastructure services. By the rules of the segment, can only operate in the country companies that enter into contracts with companies already in the market, such as Vivo, TIM, Claro and Oi
Source: O Estado de Minas
Translation: L. Sackiewicz