Mobile resellers face cost hikes as telco consolidation cuts bargaining power
With the Simba-M1 merger, MVNOs could lose bargaining power and thus may have to tie up or exit
Add BT as a preferred source
DeeperDive is a beta AI feature. Refer to full articles for the facts.
[SINGAPORE] Mobile virtual network operators (MVNOs) face a shrinking runway as rising wholesale costs threaten to force smaller players out of the market, analysts told The Business Times.
The anticipated Simba-M1 merger is expected to help stabilise prices for consumers in an extremely competitive telco market in Singapore. However, analysts noted that the merger means that MVNOs may risk losing bargaining power as the number of host networks reduces.
MVNOs do not own network infrastructure, and so depend on mobile network operators (MNOs) such as the Simba-M1 entity, StarHub and Singtel.
Decoding Asia newsletter: your guide to navigating Asia in a new global order. Sign up here to get Decoding Asia newsletter. Delivered to your inbox. Free.
Copyright SPH Media. All rights reserved.
TRENDING NOW
Air India asks Tata, Singapore Airlines for funds after US$2.4 billion loss
Beijing’s calculated silence on the Iran war
China pips the US if Asean is forced to choose, but analysts warn against reading it like a sports result
Richard Eu on how core values, customers keep Singapore’s TCM chain Eu Yan Sang relevant
