Telkom has officially launched its platform to support the mobile virtual network operators (MVNOs), joining an increasingly crowded market segment that was originally pioneered in South Africa by Cell C.
The MVNO platform, which will help Telkom meet requirements set out by communications regulator Icasa in a spectrum auction in 2022, is being launched through Telkom Business.
It said it is launching the MVNO platform in partnership with an MVNE (mobile virtual network enabler) partner “with a proven track record in the South African market”. It didn’t name the MVNE.
“Signing the MVNE platform agreement will allow Telkom to meet Icasa’s requirements while identifying and onboarding multiple MVNOs to strengthen its competitive position in the MVNO market,” Telkom said in a statement late on Monday. “Icasa requires mobile network operators like Telkom to support at least three black-owned MVNOs as part of their spectrum licence conditions.”
The company said the MVNO market is “expanding rapidly”, with a report by Africa Analysis in February 2024 estimating the market’s potential revenue at R83.6-billion.
“Since the sector’s inception in 2006, it has experienced steady growth, with subscriber numbers increasing by 51% year on year by the end of 2023, reaching 4.3 million users. This growth is driven by consumer affinity, particularly to financial services providers, retailers and niche brands,” said Telkom.
‘Exciting space’
“The MVNO market is an exciting space, and we are eager to bring our network capabilities and infrastructure to enable and support new entrants,” said Lunga Siyo, Telkom CEO: Consumer and Small Business. “We are streamlining MVNO entry with a structured, scalable single-platform model. This simplifies integration, reduces operational complexity and ensures reliable network access.”
Read: MVNOs are the new growth driver in South African telecoms
Telkom’s launch in the MNVO space brings to four the number of mobile network operators offering such services – Cell C was the pioneer of the market, having hosted the country’s first-ever MVNO, the now-defunct Virgin Mobile South Africa. However, MTN South Africa and, to a lesser extent, Vodacom South Africa have recently also begun playing in the space. – © 2025 NewsCentral Media
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