In a telecommunications landscape long dominated by major mobile network operators (MNOs), the rise of Mobile Virtual Network Operators (MVNOs) is quietly reshaping the South African market. No longer limited to a handful of niche players, MVNOs are now stepping into the mainstream—and they’re doing so with a powerful proposition: more personalised, more affordable, and more inclusive mobile connectivity.
This shift, while technologically underpinned, is deeply human in impact. As infrastructure costs remain high and access inequality persists, MVNOs are carving out a new path for innovation, transformation and digital equity.
MVNOs operate without owning spectrum or physical network infrastructure, instead leasing capacity from traditional MNOs and reselling it under their own brand. While this model is not new globally, South Africa’s market has been slower to embrace it at scale. Until recently, few players had made significant inroads.
Now, that’s changing—fast. The country ended 2023 with over 4.3 million active MVNO subscribers, and momentum is building. Large retailers, financial service providers, and even media brands are entering the market, recognising mobile access as the next frontier in customer engagement and ecosystem expansion. From Pick n Pay’s PnP Mobile to Standard Bank’s virtual offering, these brands are turning customer loyalty into real-time mobile usage.
The recent announcement by Telkom to launch a Mobile Virtual Network Enabler (MVNE) platform marks a significant moment in this trajectory. This move allows Telkom to invite other companies—particularly Black-owned businesses—to become MVNOs using its infrastructure.
It is a clear nod to the regulatory emphasis on transformation, particularly ICASA’s spectrum licensing conditions, which require operators to enable broader industry participation. Yet it also represents a broader cultural and commercial pivot: Telkom is betting that MVNOs are not just a compliance necessity, but a strategic growth engine for the industry.
The most compelling promise of the MVNO model in South Africa lies in its potential for inclusion. With traditional MNOs often structured around volume and broad-market products, MVNOs bring a refreshingly agile approach. They can create hyper-targeted offerings: affordable bundles for township entrepreneurs, youth-driven social media packages, or voice-first plans for older demographics.
This flexibility is particularly powerful in a country marked by deep economic divides. With digital access increasingly shaping opportunity, education, and employment, MVNOs provide a means for marginalised communities to participate more fully in the digital economy.
Moreover, smaller brands tend to have community trust in ways that large telecom giants do not. An MVNO launched by a local co-operative or religious organisation may resonate more with its audience, both in messaging and pricing. In this way, connectivity becomes not just a utility, but a culturally embedded tool for empowerment.
MVNOs are also becoming a compelling business proposition. For brands already serving large customer bases—banks, retailers, insurers—the addition of mobile services deepens engagement, unlocks data insights, and creates new revenue streams.
Rather than viewing mobile as a standalone service, these companies see it as an extension of customer experience. An insurance group, for example, might offer zero-rated access to its app. A bank could reward loyalty points with airtime. The possibilities are vast, and increasingly, they’re being realised.
From a consumer perspective, this diversification creates real choice in a market that has historically been controlled by a few dominant players. As competition intensifies, pricing becomes more competitive, service innovation grows, and users benefit.
The challenge ahead lies in ensuring that MVNO growth does not simply mirror the traditional market structure. Regulatory support, fair network access, and continued investment in last-mile infrastructure will all be essential to ensuring that this new layer of the telecoms market remains dynamic and inclusive.
Equally important will be the storytelling—how brands define their MVNOs, who they speak to, and what role they play in the digital lives of South Africans.
In this next chapter of connectivity, MVNOs are more than just resellers. They are rewriters of the telecoms narrative—smaller in footprint perhaps, but bold in vision.
