Skip to main content

Low-Cost MVNOs Shake Up Prepaid

Low-cost MVNOs, shaking up a stagnant European prepaid market, are threatening to grab as much as 15 to 20 percent of the available market share over the next five years, according to Strategy Analytics. Operators are finally waking up to this unpleasant truth, and are reacting by launching their own low-cost offers, like "Simyo," from E-Plus, which launched last week in Germany. However, the threat from no-frills players still looms large over the entire mobile industry. Although prepaid users now account for 60 percent of mobile users in Western Europe, these prepaid users are now being targeted by low-cost MVNOs offering significantly lower call rates. "Even though prepaid was the engine that accelerated mobile growth in Europe," said Sara Harris, Senior Industry Analyst at Strategy Analytics, "the majority of prepaid offers today are not only expensive, but they ignore customer demands for drastically lower-cost pricing. Thus, low-cost MVNOs have been able to storm into the market appropriating customers for whom price is king."

Popular posts from this blog

AI-Driven Data Center Liquid Cooling Demand

The rapid evolution of artificial intelligence (AI) and hyperscale cloud computing is fundamentally reshaping data center infrastructure, and liquid cooling is emerging as an indispensable solution. As traditional air-cooled systems reach their physical limits, the IT industry is under pressure to adopt more efficient thermal management strategies to meet growing demands, while complying with stringent environmental regulations. Liquid Cooling Market Development The latest ABI Research analysis reveals momentum in liquid cooling adoption. Installations are forecast to quadruple between 2023 and 2030. The market will reach $3.7 billion in value by the decade's end, with a CAGR of 22 percent. The urgency behind these numbers becomes clear when examining energy metrics: liquid cooling systems demonstrate 40 percent greater energy efficiency when compared to conventional air-cooling architectures, while simultaneously enabling ~300-500 percent increases in computational density per rac...