What is an MVNO?

If you've been reading news about Disney Mobile's failure, you may be wondering just what MVNO means.
A Mobile Virtual Network Operator provides mobile service (voice and/or data) just like your typical service operator. The difference is that an MVNO doesn't own the rights to the radio frequencies needed to transmit cellular traffic, and doesn't own all the hardware needed to make the setup work (including the cell towers, cables, switching stations, etc.).
Instead, an MVNO rents or leases these, usually from companies who actually own the frequencies and infrastructure. Despite the recent high-profile failures of Helio and Amp'd Mobile (both are MVNOs) and of course, Disney Mobile and Mobile ESPN, MVNOs are actually doing quite well, with over 200 in existence around the world today. Check out mobilevirtualnetwork.co.uk for more details.