Welcome to MVNO Global initiative
“MVNO Global” is initiative founded by leading experts of telecom and finance industry, striving to consolidate already operating Europe’s MVNO’s, and to create Europe’s global alternative mobile operator.
Mission. To develop Pan Europe global alternative GSM/UMTS mobile operator and service enabler using full infrastructure Mobile Virtual Network Operator (MVNO) concept. Introduce and complete consolidation horizontal merger of existing MVNO’s, one from each country, and rising funds to expand globally.
Objectives. To consolidate already operating MVNO’s, entrepreneurs of MVNO startups, financial resources and technology innovations to develop state of the art Global Telecommunication company based on innovative services and superb customer care. To create by consolidation horizontal merger new type of EU company - The European Company; "Societas Europaea" or SE by merging existing MVNO's operating in different countries. more…
Rationale. The key principle behind initiative to merge existing MVNO’s is to create shareholder value over and above that of the sum of the companies; hence companies together are more valuable than separate companies. This rationale is particularly alluring to existing MVNO’s and SP’s operating in tough mobile markets like Denmark and Finland. The companies should come together to benefit from economies of scale, thus reducing duplicate departments or operations, lowering the costs of the company and increasing profit. The companies in addition benefit from synergy: better use of complementary resources, centralized service platform and value of global brand name.
History.The roots of initiative could be found in brains of some telecom consultants, who in their every day life working on mobile telecom fields in different countries and acknowledge market players needs.
Some industry driving forces have crystallized from information expressed by different MVNO's, because they foreseen problems with development and differentiation. Somebody should be the first.
So therefore general idea were formulated "on paper" and returns in launching web portal to find supporters, believers and developers of idea, in other words, to find those, who trust in cross border consolidation and next gen MVNO business model.
Background. Europe now facing transition period of huge changes in mobile telecom market. The new-generation MVNO era is coming to completely change landscape of mobile communication operations. The process is unavoidable and driven by economical forces and technology evolution, like creative destruction process. Since market liberalization in some countries like Denmark and Finland huge number of competing MVNO’s is operating, since in some markets, like in CEE countries, under pressure of regulations and entrepreneurs, the process of MVNO development just started.
Target market. The target market is medium and high-end business and residential users, other MVNO’s and service and content providers willing to start global operations on company’s technical platform.
Market size and share. Total Europe mobile market revenues at particular moment are 1 657 900 mlj EUR. ]more... "MVNO Global" assumed to reach 4% of market at the end of third year of operations i.e. revenues of 66 316 mlj EUR.
Technical description. MVNO Global network platform should consist from GSM switcing equipment in each country connected to each other by broadband connections. Each country’s GMSC is connected to other incumbent operators under terms of interconnection agreements. Every GMSC should be connected to countries MNO: host mobile network operator. Service platform and applications should be centralized, as much it is technically possible in order to reduce CAPEX. Roaming agreements should be signed to rest of the worlds GSM networks. In each country Global MVNO should have its own MNC (Mobile Network Code) in each country and IMSI range.
Implementation.
At first stage of project analysis of EU15 countries mobile markets will be performed in order to identify mobile market alternative key players and select those will be invited to negotiate aspects of fore coming merging process. Throughout second stage all separate networks and service offerings will be upgraded to developed standardized platform. In third stage other countries networks will be developed and connected.
List of countries involved in project depending from implementation time frame:
Phase 1 countries:
Austria; Belgium; Denmark; Finland; France; Germany; Greece; Ireland; Italy; Luxembourg; Netherlands; Norway; Portugal; Spain; Sweden; Switzerland; United Kingdom
Phase 2 countries:
Czech Republic, Estonia, Cyprus, Latvia, Lithuania, Hungary, Malta, Poland, Slovenia, Slovakia
Phase 3 countries:
Albania; Andorra; Bosnia and Herzegovina; Bulgaria; San Marino; Serbia and Montenegro, USA, Japan, China
„MVNO Global” and EU competition law
When companies combine via a merger or an acquisition, this generally has a positive impact on markets. The linking-up of the firms’ activities enables them to achieve synergy in numerous areas, such as research and the development of new products, or sometimes to implement restructuring measures that will reduce production or distribution costs for the new company. They thus become more efficient on the market. Competition intensifies and the final consumer will benefit from higher-quality goods at fairer prices.
Nevertheless several restrictions of EU competition law might apply on MVNO Global creation process.
Cartel agreements. (Article 81 of the EC Treaty)
There are no cartel agreement indications in merging and acquisition process, which might lead to distorted competition.
Abuse of dominant position. (Article 82 of the EC Treaty)
The main aspect to analyze either the venture holds the dominant position is to determing appropriate market. Since “MVNO Global” operations covers broad range of services and geographical territories, only main markets initially could be defined: mobile national calls, mobile international calls, interconnection market, and roaming market.
In appraising the firm’s economic power, the Commission takes account of its market share and also of other factors such as whether there are credible competitors, whether the firm has its own distribution network, whether it has favorable access to raw materials, etc. in each of markets above. Since the tiny market share and no presence of other factors, “MVNO Global” could not hold dominant market position in foreseen future and therefore its operations not to be considered as abuse of dominant position.
Merger control. (Regulation (EEC) No 4064/89)
Mergers which create or strengthen a dominant position is prohibited by EU. Since venture not be defined to hold dominant position on none of markets it’s operate, those restrictions could not be applied
However formal notification of M&A could be done to EU. After an initial scrutiny period of one month, the Commission decides either to authorise the transaction or, if it thinks that a dominant position might be created or strengthened, to initiate a four-month investigation procedure.
Predatory pricing.
Predatory pricing is instrument, how dominant market player could eliminate competitions. Price decrease because of fair competition in every market is welcome due to benefits for consumers.
Since pricing approach for MVNO Global both operational markets: national and international (roaming) might be significantly differing from existing, claims about predatory pricing strategy applying might arise. Since the goal of pricing strategy for “MVNO Global” shouldn’t be elimination of competitors and since it is not be considered holding dominant position in none of markets its operates, the predatory pricing issue is not applicable.
„MVNO Global” and GSM Association.
„MVNO Global” should encourage GSMA to eliminate requirement to have the radio license to become a full member.
Since the Full MVNO equipment is based on GSM standard, MVNO Global have to be the full member of GSMA in order to conclude roaming agreements with other GSM networks and have access to roaming procedures. Moreover, contribution on GSM platform development should be performed.
MVNO Global and Code +3883 European Telephony Numbering Space (ETNS)
Since MVNO Global is going to operate on pan-Europe platform using of non-geographic numbering could be applied. One of solution is to use +3883 EU code.
The European Telephony Numbering Space (ETNS) is a European numbering scheme parallel to existing national numbering schemes and used for the provision of pan-European services.
The objective of the ETNS is to promote pan-European services by making numbers available in circumstances where neither national nor global numbers are suitable or available.
A European code — 3883 — which is used in the same way as a country code, allows pan-European companies, organizations and individuals to facilitate Europe-wide access to their services via an ETNS Number.
However deeper analysis of operational model should be performed, because:
- recently EU suspended development of ETNS;
- slow implementation of numbering range by member countries operators;
- technical implementation and tariff issues.
“MVNO Global” initiative for:
EU economy.
Since “MVNO Global” activities are covering all EU countries and beyond, whole market operating is considered as Single European Information space. Therefore “MVNO Global” fully supports EU comission vision and activities with statements below.
- “MVNO Global” initiative completely supports EU “Lisbon strategy” as a commitment to turn the EU into the world's most dynamic and competitive economy with social and environmental policies ensuring sustainable development by 2010. Information & Communication Technologies (ICTs) and mobile voice and content technologies are crucial to reaching this goal, due both to their contribution to overall economic performance and the benefits they offer European society at large.
- “MVNO Global” supports “i2010” programm and its goal to create an open and competitive single market for information society and media services within the EU.
- “MVNO Global” could benefit from Single European Information Space concept offering affordable and secure high bandwidth communications, rich and diverse content and digital services.
- “MVNO Global “ relay on eTEN: EU programme that seeks how to extend the potential benefits of the single European market and the information society to all European citizens by facilitating the widest possible participation in the new knowledge economy.
- “MVNO Gobal” strives to develop on its network platform “mobile broadband services”, which will be the source of medium to long-run growth in the sector, with mobile phones increasingly being used to access the internet, shop and pay on-line, provide “location-based” services, and receive audio-visual services such as music and video.
For existing MVNO’s.
To receive advantage to survive in highly competitive markets. Increase revenue stream, ARPU using existing customer base and global network
For MVNO startups.
To use financial resources, brand name and know how of MVNO Global.
For equipment producers and service developers.
To make excellent deal on equipment provisioning. To test end implement globally newest services. To test latest handsets globally. Please read conditions of involvement in project. here…
“MVNO Global” for consultants
If you are consultant or legal or M&A advisor and interested to participate in project, please send info to consult@mvno.biz Why to join? See some answers here…
“MVNO Global” for established MVNO's
If you are existing MVNO in one of the countries above, and interested to evaluate partnership; send your general inquiry to operators@mvno.biz Why to join? See some answers and requirements here…
“MVNO Global” for Start-ups
If you are startup looking for rising funds and implement developed business plan, please submit your short description to startups@mvno.biz Why to join? See some answers and requirements here…
“MVNO Global” for Investors
If you are business angel or VC willing to evaluate investment options, please send your details to vc@mvno.biz Why to invest? See some answers and requirements here
If you would like to register and become a member of initiative portal, access files and share the viewpoint, please signup on login section.
Visit our download section for latest initiative documents.
Mission. To develop Pan Europe global alternative GSM/UMTS mobile operator and service enabler using full infrastructure Mobile Virtual Network Operator (MVNO) concept. Introduce and complete consolidation horizontal merger of existing MVNO’s, one from each country, and rising funds to expand globally.
Objectives. To consolidate already operating MVNO’s, entrepreneurs of MVNO startups, financial resources and technology innovations to develop state of the art Global Telecommunication company based on innovative services and superb customer care. To create by consolidation horizontal merger new type of EU company - The European Company; "Societas Europaea" or SE by merging existing MVNO's operating in different countries. more…
Rationale. The key principle behind initiative to merge existing MVNO’s is to create shareholder value over and above that of the sum of the companies; hence companies together are more valuable than separate companies. This rationale is particularly alluring to existing MVNO’s and SP’s operating in tough mobile markets like Denmark and Finland. The companies should come together to benefit from economies of scale, thus reducing duplicate departments or operations, lowering the costs of the company and increasing profit. The companies in addition benefit from synergy: better use of complementary resources, centralized service platform and value of global brand name.
History.The roots of initiative could be found in brains of some telecom consultants, who in their every day life working on mobile telecom fields in different countries and acknowledge market players needs.
Some industry driving forces have crystallized from information expressed by different MVNO's, because they foreseen problems with development and differentiation. Somebody should be the first.
So therefore general idea were formulated "on paper" and returns in launching web portal to find supporters, believers and developers of idea, in other words, to find those, who trust in cross border consolidation and next gen MVNO business model.
Background. Europe now facing transition period of huge changes in mobile telecom market. The new-generation MVNO era is coming to completely change landscape of mobile communication operations. The process is unavoidable and driven by economical forces and technology evolution, like creative destruction process. Since market liberalization in some countries like Denmark and Finland huge number of competing MVNO’s is operating, since in some markets, like in CEE countries, under pressure of regulations and entrepreneurs, the process of MVNO development just started.
Target market. The target market is medium and high-end business and residential users, other MVNO’s and service and content providers willing to start global operations on company’s technical platform.
Market size and share. Total Europe mobile market revenues at particular moment are 1 657 900 mlj EUR. ]more... "MVNO Global" assumed to reach 4% of market at the end of third year of operations i.e. revenues of 66 316 mlj EUR.
Technical description. MVNO Global network platform should consist from GSM switcing equipment in each country connected to each other by broadband connections. Each country’s GMSC is connected to other incumbent operators under terms of interconnection agreements. Every GMSC should be connected to countries MNO: host mobile network operator. Service platform and applications should be centralized, as much it is technically possible in order to reduce CAPEX. Roaming agreements should be signed to rest of the worlds GSM networks. In each country Global MVNO should have its own MNC (Mobile Network Code) in each country and IMSI range.
Implementation.
At first stage of project analysis of EU15 countries mobile markets will be performed in order to identify mobile market alternative key players and select those will be invited to negotiate aspects of fore coming merging process. Throughout second stage all separate networks and service offerings will be upgraded to developed standardized platform. In third stage other countries networks will be developed and connected.
List of countries involved in project depending from implementation time frame:
Phase 1 countries:
Austria; Belgium; Denmark; Finland; France; Germany; Greece; Ireland; Italy; Luxembourg; Netherlands; Norway; Portugal; Spain; Sweden; Switzerland; United Kingdom
Phase 2 countries:
Czech Republic, Estonia, Cyprus, Latvia, Lithuania, Hungary, Malta, Poland, Slovenia, Slovakia
Phase 3 countries:
Albania; Andorra; Bosnia and Herzegovina; Bulgaria; San Marino; Serbia and Montenegro, USA, Japan, China
„MVNO Global” and EU competition law
When companies combine via a merger or an acquisition, this generally has a positive impact on markets. The linking-up of the firms’ activities enables them to achieve synergy in numerous areas, such as research and the development of new products, or sometimes to implement restructuring measures that will reduce production or distribution costs for the new company. They thus become more efficient on the market. Competition intensifies and the final consumer will benefit from higher-quality goods at fairer prices.
Nevertheless several restrictions of EU competition law might apply on MVNO Global creation process.
Cartel agreements. (Article 81 of the EC Treaty)
There are no cartel agreement indications in merging and acquisition process, which might lead to distorted competition.
Abuse of dominant position. (Article 82 of the EC Treaty)
The main aspect to analyze either the venture holds the dominant position is to determing appropriate market. Since “MVNO Global” operations covers broad range of services and geographical territories, only main markets initially could be defined: mobile national calls, mobile international calls, interconnection market, and roaming market.
In appraising the firm’s economic power, the Commission takes account of its market share and also of other factors such as whether there are credible competitors, whether the firm has its own distribution network, whether it has favorable access to raw materials, etc. in each of markets above. Since the tiny market share and no presence of other factors, “MVNO Global” could not hold dominant market position in foreseen future and therefore its operations not to be considered as abuse of dominant position.
Merger control. (Regulation (EEC) No 4064/89)
Mergers which create or strengthen a dominant position is prohibited by EU. Since venture not be defined to hold dominant position on none of markets it’s operate, those restrictions could not be applied
However formal notification of M&A could be done to EU. After an initial scrutiny period of one month, the Commission decides either to authorise the transaction or, if it thinks that a dominant position might be created or strengthened, to initiate a four-month investigation procedure.
Predatory pricing.
Predatory pricing is instrument, how dominant market player could eliminate competitions. Price decrease because of fair competition in every market is welcome due to benefits for consumers.
Since pricing approach for MVNO Global both operational markets: national and international (roaming) might be significantly differing from existing, claims about predatory pricing strategy applying might arise. Since the goal of pricing strategy for “MVNO Global” shouldn’t be elimination of competitors and since it is not be considered holding dominant position in none of markets its operates, the predatory pricing issue is not applicable.
„MVNO Global” and GSM Association.
„MVNO Global” should encourage GSMA to eliminate requirement to have the radio license to become a full member.
Since the Full MVNO equipment is based on GSM standard, MVNO Global have to be the full member of GSMA in order to conclude roaming agreements with other GSM networks and have access to roaming procedures. Moreover, contribution on GSM platform development should be performed.
MVNO Global and Code +3883 European Telephony Numbering Space (ETNS)
Since MVNO Global is going to operate on pan-Europe platform using of non-geographic numbering could be applied. One of solution is to use +3883 EU code.
The European Telephony Numbering Space (ETNS) is a European numbering scheme parallel to existing national numbering schemes and used for the provision of pan-European services.
The objective of the ETNS is to promote pan-European services by making numbers available in circumstances where neither national nor global numbers are suitable or available.
A European code — 3883 — which is used in the same way as a country code, allows pan-European companies, organizations and individuals to facilitate Europe-wide access to their services via an ETNS Number.
However deeper analysis of operational model should be performed, because:
- recently EU suspended development of ETNS;
- slow implementation of numbering range by member countries operators;
- technical implementation and tariff issues.
“MVNO Global” initiative for:
EU economy.
Since “MVNO Global” activities are covering all EU countries and beyond, whole market operating is considered as Single European Information space. Therefore “MVNO Global” fully supports EU comission vision and activities with statements below.
- “MVNO Global” initiative completely supports EU “Lisbon strategy” as a commitment to turn the EU into the world's most dynamic and competitive economy with social and environmental policies ensuring sustainable development by 2010. Information & Communication Technologies (ICTs) and mobile voice and content technologies are crucial to reaching this goal, due both to their contribution to overall economic performance and the benefits they offer European society at large.
- “MVNO Global” supports “i2010” programm and its goal to create an open and competitive single market for information society and media services within the EU.
- “MVNO Global” could benefit from Single European Information Space concept offering affordable and secure high bandwidth communications, rich and diverse content and digital services.
- “MVNO Global “ relay on eTEN: EU programme that seeks how to extend the potential benefits of the single European market and the information society to all European citizens by facilitating the widest possible participation in the new knowledge economy.
- “MVNO Gobal” strives to develop on its network platform “mobile broadband services”, which will be the source of medium to long-run growth in the sector, with mobile phones increasingly being used to access the internet, shop and pay on-line, provide “location-based” services, and receive audio-visual services such as music and video.
For existing MVNO’s.
To receive advantage to survive in highly competitive markets. Increase revenue stream, ARPU using existing customer base and global network
For MVNO startups.
To use financial resources, brand name and know how of MVNO Global.
For equipment producers and service developers.
To make excellent deal on equipment provisioning. To test end implement globally newest services. To test latest handsets globally. Please read conditions of involvement in project. here…
“MVNO Global” for consultants
If you are consultant or legal or M&A advisor and interested to participate in project, please send info to consult@mvno.biz Why to join? See some answers here…
“MVNO Global” for established MVNO's
If you are existing MVNO in one of the countries above, and interested to evaluate partnership; send your general inquiry to operators@mvno.biz Why to join? See some answers and requirements here…
“MVNO Global” for Start-ups
If you are startup looking for rising funds and implement developed business plan, please submit your short description to startups@mvno.biz Why to join? See some answers and requirements here…
“MVNO Global” for Investors
If you are business angel or VC willing to evaluate investment options, please send your details to vc@mvno.biz Why to invest? See some answers and requirements here
If you would like to register and become a member of initiative portal, access files and share the viewpoint, please signup on login section.
Visit our download section for latest initiative documents.
