The costs associated with building a nationwide wireless network are immense. Despite this fact, new voice and data service operators enter the market on a regular basis, often providing consumers with considerable cost savings for mobile phone and data service. These smaller carriers are known as mobile virtual network operators (MVNOs). Instead of attempting to create a wireless network of their own, these companies lease wireless telephone and data service from established mobile network operators (MNOs) in their target markets at wholesale rates. In the U.S., these MNOs include AT&T (NYSE: T), Sprint (NYSE: S), T-Mobile (NYST: TMUS) and Verizon (NYSE: VZ).
In some cases, MVNOs use their own customer service, billing support systems, marketing and sales personnel, however, establishing these resources typically requires a substantial amount of upfront capital. Alternatively, MVNOs can enlist the services of a mobile virtual network enabler (MVNE), a business-to-business operation specializing in the planning, implementation and management of mobile services – including SIM provisioning and configuration, customer billing, customer relationship management and value-added service platforms. In this way, startup MVNOs can effectively outsource management of business and technical operations while benefitting from the previous experience of the MVNE as a negotiating channel with MNOs.
Elephant Talk Communications Corp. (NYSE MKT: ETAK) addresses the demand for MVNEs through its proprietary platform. Using market standard interfaces, the company offers global telecommunication companies and other service providers a full suite of products and services that enable them to fully provide mobile telecom services as part of their overall business offerings.
Earlier this month, Elephant Talk announced an agreement with the wholesale division of a Tier 1 U.S. mobile operator through which the operator may procure the company’s innovative MVNO platform services on a non-exclusive basis. Following this agreement, Elephant Talk is in a formidable position to provide launch support for a number of MVNO brands moving forward. The company has already completed the primary integration of its solution platform with the mobile operator’s systems, and it expects to begin supporting new MVNO customers in the coming weeks.
“Our selection by a Tier 1 U.S. mobile operator is a major achievement for Elephant Talk, validating the strength of our technology and the capabilities of our software platforms designed for the unique needs of MNOs and MVNOs,” Tim Payne, president of Elephant Talk North America, stated in a news release. “We have worked closely with this mobile operator to complete the simultaneous integration of our platform with their systems and are pleased to report that we are now ready to support a growing number of new MVNO brands as they are launched on the operator’s network.”
Leaning on the marketability of its technology, Elephant Talk has established itself as an emerging leader in the mobile space. With many of the world’s top MNOs and technology firms already amongst its customers and partners – including Vodafone (NASDAQ: VOD), T-Mobile, Zain, HP (NYSE: HPQ) and Affirmed Networks – the company is primed to promote sustainable financial growth for the foreseeable future.
For more information, visit www.elephanttalk.com
