💸 Telecoms has a price problem. For years, the industry has relied on complex tariffs, legacy bundles, and long contracts to drive ARPU. But let’s be real — that model is creaking. Consumers today want simplicity, flexibility, and value. That’s where eSIM and MVNOs come in. 👉 eSIM strips away the friction, making onboarding seamless and giving consumers instant choice. 👉 MVNOs, often more agile than legacy operators, can challenge pricing models and deliver propositions that truly resonate with today’s digital-first customer. The industry is at a crossroads. Those who cling to old ways risk irrelevance. Those who embrace change — leveraging eSIM and partnering with MVNOs — could reshape telecoms as we know it. 📖 I’ve broken down the challenges (and opportunities) in more detail here: 🔗 Telecoms Has a Price Problem: The Role of eSIM and MVNOs in the Industry’s Future https://lnkd.in/eh9XDdaZ What do you think — are operators ready to move beyond outdated pricing models? #Telecoms #MVNO #eSIM #Connectivity #Innovation #FutureOfTelecoms
Jo Hermon
1mo
Having worked across several UK MNOs, diversification has long been a strategic ambition… but rarely a lasting success. One such example was O2 launching “O2 Health”. A really well-intentioned service offering fall alerts for the elderly. Perfect fit for an ageing population and adjacent enough to connectivity to make sense. Yet it never really landed. Was it the ‘launch and leave’ GTM style that was common or a failure to properly educate customers on what else lived in the portfolio beyond core tariffs? Possibly both. I’m curious though. What makes you feel MVNOs are inherently more agile? In my experience, it really depends on their existing proposition and whether connectivity complements or complicates their value to the customer. There’s definitely huge potential here, but success (for MNOs and MVNOs alike) I think will come down to customer insight, execution, customer understanding, and getting past the obsession with price as the only lever. Something I have played with for years in telco ;-)
TDA Telecoms
1mo
Great insights. The shift to eSIM and MVNO-led models feels inevitable, but it also highlights how critical it is for the industry to bring in people who understand not just connectivity, but customer experience, fintech, and digital ecosystems too.
complexity is just an MNO trait, no successful MVNO has ever had complex tariffs, staring with the first, Virgin Mobile UK, whose simplicity (along with other traits) lead to them being voted best UK network for the first 13 years of their existence while their (for most of that time identical as a light MVNO) host was voted worst UK network for most of those years. Another interesting fact that at the same time, another UK MVNO we werer working on which should have been the first in the World, delayed their launch because of how bad the only host MNO whoch would do MVNOs at the time was perceived in the market! That was Tesco, who eventually launched simple Tariffs and discounts and knocked it out of the park as well. Every MVNO we ever launched is still in business as we will plain walk away from one that does not want to launch with simple tariffs! (among other traits ;))
Subrata Dutta
1mo
A sharp diagnosis and a pragmatic playbook—shifting from price wars to platforms, partnerships, and eSIM-enabled embedded connectivity is exactly the strategic reset telcos need right now. Operators should pair MVNO/vertical bundles with programmable network capabilities and usage-based monetization—think policy/QoS, location, and identity exposure via network APIs—to unlock margin-positive, B2B2X revenue beyond consumer ARPU constraints. In parallel, governance matters: treating connectivity like a “regulated utility” while competing like a “digital platform” means retooling the operating model—product-centric squads, faster experimentation on a modern stack, and outcome metrics tied to attach, retention, and LTV, not just net adds. Finally, eSIM is more than distribution efficiency; it’s an orchestration layer across fintech, travel, media, and IoT that reduces CAC, compresses time-to-value, and increases cross-sell surface—especially when integrated natively in partner apps with smart bundles and tiered benefits. Telcos that combine embedded connectivity, partner-led acquisition, and API-led monetization won’t just survive consolidation cycles—they’ll set the blueprint for category expansion in the next decade.
Spot on — the industry’s reliance on convoluted tariffs and lock-ins feels increasingly out of sync with today’s customer. eSIM and MVNOs aren’t just “nice to have” innovations; they’re stress-testing what the market truly wants: instant activation, freedom of choice, and honest value. The real danger for legacy operators isn’t margin erosion — it’s irrelevance. If they continue treating eSIM and MVNOs as fringe threats rather than strategic partners, they’ll miss the chance to reinvent their role in a digital-first ecosystem. The question isn’t if operators will move away from outdated models, but how fast — and whether they’ll do it proactively or be forced by competition and regulation. Those who treat eSIM and MVNOs as partners rather than disruptors stand the best chance of turning this shift into sustainable growth.
Paul Thomas
1mo
The model's problem goes beyond price into value and customer service. Broadly speaking incumbents struggle to deliver both and rely too heavily on base inertia. I see the eSim MVNO opportunity as similar to fixed alt-nets where better CX works in concert with superior technology. The challenge is in educating and inspiring a disengaged market to see eSim and multiSim as no-brainer, easy choices. I'd be happy to chat further with you on this topic.
Umeet Shah CA
1mo
Thanks for sharing. Agree that thinking about MVNO as an extension and reducing complexity for their own bases are opportunities for incumbents. Some of the challenges MNOs will face when thinking about expanding through MVNOs will be the incrementality vs cannibalisation conundrum. As an example, a high proportion of a Fintech like Revolut's base will overlap with an MNO's own mobile base. The pricing approach of MNOs is also interesting. Whilst headline prices are high, incumbents also have competitive multi-line, convergence and retention offers that they make available to their existing household relationships. It will be interesting to see if MNOs can maintain this approach as customers transact more digitally using e-sim and MVNOs are able to provide simple and seamless digital experiences with competitive prices.
Raam Venkatesan
1mo
IMHO, it's not a price problem at all. Every industry faces this. It's more to do with the business model of telecoms expiring like a rotting banana than anything else.
Gareth Abel
1mo
I’ve been doing this for the last few years (happy to share my experience and insights with you)
Helping businesses build smarter services | Director and Consultant | Customer Centred Business Transformation, Data Powered Service Design & Delivery.
1moTelcos have tried for ages to extend their brands into other verticals eg. finance/credit cards etc but have struggled to galvanise interest. It's a brand and value proposition gap that they still struggle with. Whilst customers trust telcos with data management - which is particularly important in finance, they're not trusted on value and CX which limits their ability to diversify.