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Virgin Mobile

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File:Virgin Mobile logo(original).png
The Virgin Mobile Worldwide logo.

Virgin Mobile is a brand used by many mobile phone service providers based in the United Kingdom, and operating in India, Australia, Canada, South Africa, the United States and France; the brand survived only briefly in Singapore. The international Virgin Mobile businesses each act as independent entities, usually in a partnership between Sir Richard Branson's Virgin Group and an existing phone company. Virgin Group provides the brand, and the phone company operates the network infrastructure.

Virgin Mobile was the world's first Mobile Virtual Network Operator when it launched in the United Kingdom in 1999.[citation needed] It does not maintain its own network but instead contracts to use the existing network(s) of other providers.

Global network

In the UK, Virgin Mobile uses the T-Mobile network.[1] In the US, the Sprint Nextel system is the carrier.[2] There is no roaming to other networks in the United States. In Australia, Virgin Mobile operates on the Optus network.[3] In Canada, it uses the Bell Mobility network.[4] In France, it uses Orange SA.[5] Virgin Mobile South Africa uses the Cell C network for coverage across South Africa.[6] In India, it uses the network of Tata Indicom. These networks use two different mobile telephony standards, GSM and CDMA. GSM is used in the UK, South Africa, Australia and France. CDMA is used in the US, India and Canada. (GSM is available in India via other service providers).

In all countries, Virgin Mobile offers prepaid pay-as-you-go service. In the UK, US, Canada, Australia and South Africa, Virgin Mobile also offers a post-paid option to approved customers. Already very common in the UK at the time of Virgin Mobile's launch, prepaid wireless service was a very small part of the US wireless market. Nevertheless, competitive pricing, and a "no-frills" approach ensured a small but significant market share.

Virgin Canada

Virgin Mobile Canada experienced substantial growth in the past year, launching approximately 60 "Virgin Mini Stores" across the country. Virgin Mini Stores (VMS) are kiosks usually located in shopping malls that especially target the 18-35 yr. old demographic.

For three years running, Virgin Mobile Canada has received J.D. Power and Associates' annual award for "Highest Customer Satisfaction for Prepaid Wireless," though it is worth mentioning that the other main phone companies are more focused on monthly contracts, thus making it effectively the only competitor.

Post-paid plans were introduced to Virgin Canada in February 2008.

Virgin Singapore

Virgin Singapore was launched in October 2001 as a joint venture with Singtel. The operations were closed down by October 2002 after failing to attract a significant number of customers. [7]

Failure of the joint venture was attributed to a saturated mobile market and Virgin Mobile's positioning as a "premium" brand. [8]

Virgin India

On 2008-03-01, Virgin launched the Mobile brand in India through a franchise arrangement with Tata Teleservices.[9] This is Virgin’s seventh launch globally and its largest investment to date in India, said Branson, noting that the Indian market was very attractive, growing like none other in the world.[9]. The Cellular Operators' Association of India (COAI) had opposed the tie-up, alleging that it amounted to Virgin's entry into India as a Mobile Virtual Network Operator (MVNO) which is currently not allowed in India, due to prevalent regulations.[10]. However on 2008-03-29, the Department of Telecom (DoT) cleared the deal after clarification from Tata Teleservices indicated that Virgin had not entered India as an MVNO.[11]

See also

References

  1. ^ "Blyk's free mobile launch delayed". July 9, 2007. Retrieved 2007-07-20.
  2. ^ "Virgin considers float for Virgin Atlantic". July 15, 2007. Retrieved 2007-07-16.
  3. ^ "Optus Acquires Virgin Mobile Australia". January 12, 2006. Retrieved 2007-07-20.
  4. ^ "Virgin Mobile confirms Canada as its fourth port of call". March 31, 2004. Retrieved 2007-07-20.
  5. ^ "Carphone blames Virgin Mobile for woes". November 3, 2006. Retrieved 2007-07-20.
  6. ^ "Virgin Mobile to enter South Africa under VNO agreement". March 13, 2006. Retrieved 2007-07-20.
  7. ^ "Virgin Mobile exits Singapore market". Electronics News. 2003-07-10. Retrieved 2007-08-22.
  8. ^ Akers, Lawrence (2002-07-10). "Virgin's Version". Forbes. Retrieved 2007-08-22.
  9. ^ a b "Virgin Mobile enters India through pact with Tata Tele". The Hindu Business Line. 2008-03-01. Retrieved 2008-03-30.
  10. ^ "COAI questions Virgin's 'backdoor' entry, seeks clear policy". The Economic Times. 2008-03-20. Retrieved 2008-03-30.
  11. ^ "DoT clears Tata-Virgin deal". The Economic Times. 2008-03-29. Retrieved 2008-03-30.
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