What is an MVNO?
In conversations about Lightyear Wireless, you will often hear the term MVNO. MVNO stands for “mobile virtual network operator”. MNVO simply refers to the business model of companies like Lightyear Wireless. MNVO’s provide mobile phone services, but don’t have their own licensed band of the frequency spectrum. In addition, they usually don’t have the infrastructure to provide direct mobile phone and data services.
This is not a new approach to a business model. It was done in the days of wired phone service too. Those were called “switchless resellers”. An example of one would have been Excel Communications.
In the case of Lightyear Wireless, there are partnerships in place with both Sprint and Verizon. These partnerships allow all parties to work their businesses in the most efficient manner. The MNVO (Lightyear Wireless) can operate free of the constraints of having to manage infrastructure. The phone companies in turn can manage infrastructure with the constraints of selling phone service. Verizon does maintain retail stores however, there are persistent rumors that they might be winding down their retail operations or at least stop growing in that direction.
While this is an aspect of the company that doesn’t really involve the day to day selling of we Lightyear agents, it is good information to know and understand what an MVNO is and be educated about Lightyear’s role in the wireless marketplace.
