U.S. Mobile Virtual Network Operator Market Summary

The U.S. mobile virtual network operator (MVNO) market size was valued at USD 27.96 billion in 2023 and is expected to grow at a compound annual growth rate (CAGR) of 7.5% from 2024 to 2030. The market expansion is primarily driven by the substantial increase in the adoption of 5G technology across the country, competitive pricing strategies introduced by MVNOs, and strategic collaborations between MVNOs and Mobile Network Operators (MNOs). Unlike MNOs, MVNOs do not own or operate their cellular infrastructure but instead lease network capacity from established MNOs at reduced rates, which allows them to deliver affordable service plans to cost-conscious consumers. The availability of competitively priced packages has fueled demand among a large consumer base, ultimately boosting market growth.

The rising demand for data-centric mobile plans has further provided MVNOs with opportunities to offer flexible and customizable data packages at affordable prices. Given that the U.S. mobile subscription market has reached maturity with high penetration levels, traditional MNOs face challenges in acquiring new subscribers in such a saturated environment. MVNOs, however, have effectively targeted underserved market segments through niche service offerings and innovative marketing approaches. By creating bundled service packages that include value-added features, MVNOs are catering to consumers who are not only price-sensitive but also seek additional benefits, making them an attractive alternative to MNOs.

Key Market Trends & Insights

• The discount segment dominated the market, accounting for a revenue share of 24.2% in 2023. MVNOs operating in this category focus on offering budget-friendly prepaid plans, which provide users with more control over their spending while addressing the needs of value-driven customers. This segment’s growth has been propelled by consumers’ preference for simple, transparent, and affordable communication solutions.
• The full MVNO segment emerged as the leading contributor to revenue in 2023. Unlike other types of MVNOs, full MVNOs maintain higher control over their service offerings, which enables them to design customized billing systems, expand their portfolio of services, and enhance customer service quality. This greater operational flexibility has allowed them to deliver improved user experiences and build stronger relationships with subscribers, strengthening their market position.
• The consumer segment held the largest revenue share in 2023. This category includes individual mobile users who are shifting away from traditional MNOs toward MVNOs in search of affordable and flexible plans. MVNOs provide a wider variety of offerings, including data-focused plans, family bundles, and entry-level value packages, which appeal to a diverse range of customers. Leveraging innovative marketing campaigns and targeted promotions, MVNOs are successfully expanding their consumer base and capturing a larger share of the retail market.
• The enterprise segment, on the other hand, is expected to register the fastest CAGR during the forecast period. This growth is attributed to the increasing demand from businesses for customized and scalable communication solutions. Enterprises are adopting MVNO services to meet specific requirements such as cost efficiency, adaptability, and tailored connectivity options, which provide them with greater operational flexibility compared to conventional MNO services.

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Market Size & Forecast

• 2023 Market Size: USD 27.96 billion
• 2030 Projected Market Size: USD 46.31 billion
• CAGR (2024 - 2030): 7.5%

Key Companies & Market Share Insights

Some of the prominent companies active in the U.S. MVNO market include AT&T, FreedomPop, and Verizon, among others. AT&T, a multinational telecommunications provider, delivers a wide range of services, including mobile, fixed-line telephony, optical fiber connectivity, satellite television, and internet solutions. Its prepaid data plans, starting at USD 25 per month, are structured to align with varying consumer data consumption habits, ensuring affordability and accessibility.

FreedomPop, another notable MVNO and wireless service provider, offers IP mobile services, broadband devices, and mobile phones. Its competitive plans include unlimited 5G data starting at just USD 10 per month. In March 2024, the company collaborated with veteran basketball player Julius Erving as a brand ambassador to appeal to America’s growing senior citizen population. This initiative reflects the company’s strategy to target niche markets and increase adoption among older consumers who seek affordable and reliable mobile services.

Key Players

• DataXoom
• Verizon
• AT&T
• Cricket Wireless LLC
• Virgin Plus
• TRACFONE
• Comcast Corporation
• DISH Network L.L.C.
• FreedomPop
• Red Pocket Mobile

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Conclusion

The U.S. mobile virtual network operator market is positioned for steady expansion, supported by the accelerating adoption of 5G technology, attractive pricing strategies, and strong partnerships with MNOs. MVNOs are reshaping consumer expectations by providing affordable, flexible, and innovative service offerings that cater to both individual and enterprise needs. While the discount and consumer segments maintain a strong foothold, rapid growth in the enterprise category highlights evolving business communication requirements. With companies like AT&T, Verizon, and FreedomPop spearheading market initiatives, the MVNO industry is expected to play a critical role in broadening digital connectivity and driving competition through 2030.