Mar 06, 2022

Providing virtual network operator services for the Internet of Things (VNO - IOT)

Providing virtual network operator services for the Internet of Things (VNO - IOT)

A very different MVNO's world emerges - moving in parallel with the Internet of Things (IoT), which is enabled by evolving business models, and driven by a hyper-connected digital world. Despite the skepticism that remains, the need for strategy and innovation, as well as the need for evolution, remains clear

Developing strategies to help achieve business goals in the midst of the MVNO revolution raises big questions and requires a thorough understanding of the current landscape

Providing virtual network operator services for the Internet of Things (VNO - IOT)

As the world becomes hyper-connected and opens up new business-to-business (B2B) digital business opportunities, the business game of more than a decade ago is shifting to meet the evolving needs of consumers and businesses

Today's emergence includes Mobile Virtual Network Operators (MVNOs) - "alternative" wireless service providers who effectively purchase network capacity and connectivity from a major mobile carrier and then resell the services along with the MVNO's value-added features and products, marketing services Towards a specialized user base or by adding unique content

In the same vein, Mobile Virtual Network Operators (MVNOs) buy the right to use a network, whereby each MVNO is usually responsible for its own customer billing, taxation, customer service, products, and technical integration with the network operator

IoT-VNO Services Licensing

In the Rules and Conditions, “IoT-VNO Services” means services that enable automated communication between devices and devices using data SIM cards, eSIM (embedded data SIM) or any other future functional equivalent. In order to provide IoT-VNO Services, the Service Provider (not already licensed as a Telecom Service Provider) must first have obtained a Class A IoT-VNO Services License from the Communications and Information Technology Commission

This type of license is for service providers who purchase mobile network capacity from others, on a wholesale basis, to provide IoT-VNO services to their customers without obtaining any frequency assignment or establishing any telecom networks

The application process is specified in the conditions for obtaining a license to provide IoT services in the Kingdom of Saudi Arabia, published by the Communications and Information Technology Commission, along with the details of the applicant (including information on the structure and ownership), the applicant must provide information on

The strategy, and how the applicant will contribute to the telecom market in Saudi Arabia

As well as services, including products, services, target segments, timing, and proposed method for providing innovative services

In addition to the organizational structure, including management, marketing, sales, subscriber care, operations and maintenance

Studying the market, defining market segments and expectations, proposed services and prices, and attracting potential customers

a subscriber care plan, including information on after-sales service, service levels, and a plan for continuous improvement; and human resource plan, including expected Saudization levels

The applicant is also required to submit a technical plan, including a description and design of any infrastructure, network operations, performance management, and continuous improvement

The rules and conditions include a number of specific terms for IoT-VNO licensees, although as the name might suggest, these are all fairly typical and many of them can be considered of general application to any company operating in Saudi Arabia