In recent years, new companies that provide mobile phone services at lower prices, called Mobile Virtual Network Operators (MVNOs), have become more popular. These companies are attracting the interest of Mexicans, especially as users seek better deals.
Recently, the National Institute of Statistics and Geography (INEGI) announced that the National Consumer Price Index (INPC) increased by 0.70% in August compared to July. This change raises Mexico’s annual inflation rate to 8.70%, the highest it has been in the last twenty years. The recent increase in inflation has led many people to reduce their spending on products or services to cover basic needs, including cutting back on their use of mobile phones. Nowadays, having a cell phone is seen as necessary, and luckily, there are many options to choose from.
According to data from the consulting firm The CIU, by the end of the second half of 2022, there were 134.2 million lines recorded, which is 4.8% more than in the same quarter the year before. The payment method proportions are almost the same as the previous period, with 82.5% for prepaid lines and 17.5% for postpaid lines.
What are Mobile Virtual Network Operators (MVNOs)?
Mobile Virtual Network Operators (MVNOs) are companies that provide mobile phone services but do not own the wireless networks they use. Instead, they rent access to the networks from larger carriers. MVNOs often offer lower prices and unique plans to attract customers, catering to specific needs or demographics.
MVNOs are phone companies that do not own any frequency spectrum or telecommunications infrastructure. Instead, they lease the infrastructure from other operators to provide their services.
The main companies with their own infrastructure in the country are:
Altan Networks
AT&T is a telecommunications company that provides various services, including mobile and internet.
Movistar
Telcel es una empresa de telecomunicaciones en México que ofrece servicios de telefonía móvil, datos e internet.
Mobile virtual network operators (MVNOs) provide mobile calling and data services with flexible plans and lower prices for users. Selectra, a comparison website, states that these plans can be up to 30% cheaper than those from the country’s main mobile providers.
Some benefits of Mobile Virtual Network Operators (MVNOs)
More options for packages and plans that fit your budget
They cost less than regular phone companies.
Control everything from one app.
It has the same coverage as the company it rents the infrastructure from.
No plans that feel forced.
“Inflation and the economic damage from the pandemic were important reasons why Mexicans chose MVNOs as the best option for their communication needs.” Additionally, due to changes and the rise of new companies, competition among businesses has increased to attract more users, which ultimately helps consumers save money. “We are dedicated to providing the largest variety of top-up choices for your favorite mobile operator,” said Arpit Gupta, co-founder of UnDosTres.
The CIU reports that Mobile Virtual Network Operators (MVNOs) ended the second quarter of the year with an increase of 600,000 lines, giving them a 6% share of the market. This is because mandatory contract terms for getting better benefits have been removed.
If you’re thinking about changing to an MVNO, we explain which Mobile Virtual Network Operators will provide their services and what networks or frequencies they will use.
