Telecommunications company Telkom ventures into the Mobile Virtual Network Operator (MVNO) market in South Africa through strategic partnerships aimed at improving the nation's mobile landscape.

Telecommunications company Telkom ventures into the Mobile Virtual Network Operator (MVNO) market in South Africa through strategic partnerships aimed at improving the nation's mobile landscape.

Telkom South Africa has made a significant move in the telecommunications industry by entering the Mobile Virtual Network Operator (MVNO) market. This decision comes as part of the company's broader digital transformation strategy, aimed at positioning Telkom as a dominant player in the rapidly growing MVNO sector.

The entry into the MVNO market is facilitated by a strategic partnership with a leading Mobile Virtual Network Enabler (MVNE) platform provider. This partnership enables Telkom to offer mobile services without owning the full network infrastructure, a crucial advantage in the competitive telecom landscape.

To support this venture, Telkom has modernized its legacy Business Support Systems (BSS) with Amdocs’ cloud-native platform. This modernization caters to a subscriber base of 25 million, enabling 5G-ready operations, faster onboarding of services, and improved digital experiences. The platform, built with open architecture and cloud technologies, is designed to enhance customer engagement and unlock new revenue opportunities.

While the details about Telkom’s own AI-driven MVNE capabilities are less explicit, Amdocs has recently enhanced its MVNE platforms for other partners with AI & Data platforms, Customer Experience Insights, and automation suites. Given Telkom’s similar collaboration with Amdocs, they may be positioned to benefit from similar innovations in MVNE-enabled service delivery.

Telkom invites brands interested in launching MVNOs to explore partnership opportunities. The company offers unique product design and development for partners, enhancing customer experience and support based on specific customer journeys. Potential partners can access Telkom's high-quality network and roaming partners, and Telkom offers flexible onboarding, tailoring enablement and support based on customer technology integration preferences and requirements.

The MVNO sector in South Africa has experienced consistent growth since its establishment in 2006. By the end of 2023, subscriber numbers in the MVNO sector increased by 51%, reaching 4.3 million users. This growth is expected to continue, with brands across industries developing and enabling MVNO solutions that benefit all parties, with the customer at the center.

In compliance with ICASA's requirements, the MVNE platform agreement allows Telkom to support at least three black-owned MVNOs as part of their spectrum license conditions.

Siyo, the CEO of Telkom, expressed excitement about entering the MVNO market and collaborating with brands. "We are committed to strengthening our business and offering relevant solutions to MVNOs, ensuring we meet the evolving needs of our customers," said Siyo.

This strategic move by Telkom signifies a significant step forward in the company's digital transformation journey, positioning them to capitalize on the potential revenue of the MVNO market in South Africa, estimated at R83.6 billion.

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