MVNOs and the Wearable

Today on my microcast, Technology Bytes, I discuss the MVNO service as it relates to wearables.

MVNOs stands for Mobile Virtual Network Operators. For the content of this post I am only discussing the MVNOs who offer cellular service in the United States as a business. These companies are able to use the backbone of the three main service providers to offer cellular service at a, most often, discount rate.

The three main providers in the US are AT&T, Verizon and T-Mobile. There are many MVNOs that offer service on top of these providers. I was surprised to learn that there are at least 139 companies offering this service. Some are well known (Mint, Cricket, Consumer Cellular) but I was unaware of the majority by name.

Why do MVNOs exist? I am not sure. I didn’t go that deep in my research and was only interested in the fact that they exist. The reason they continue to exist is because the offer a cellular service that is unavailable through the main providers in terms of cost mostly. These providers don’t have the massive infrastructure cost or service cost of the main providers and most often do not have physical stores to maintain either. The reduced cost model is then passed on to the consumer in reasonably priced and quite good (speed and coverage) cellular service. Mint mobile is probably the most well known and the pricing on their service is quite good.

I have often though of moving my family to this service to save money on my cellular bill. Here in lies the rub, wearables. I don’t understand the reason but MVNOs are unable to offer cellular service to wearable devices. If you want or need that type of service you must stay with the main providers.

Many, including technology podcasts, that I hear advertise for these services do not mention this issue. I count on my Apple Watch to have cellular service everyday. I wear my watch in situations where it doesn’t make sense to carry a phone. The cost of the phone compared to the cost of the watch is the basis for the previous statement. It is not that I can’t carry the phone but why take the risk.

Therefore, because I need to be able to stay in-touch with family and emergency services during these physical activities I like to have cellular service available on my wearable which precludes me from switching my service to an MVNO provider. I don’t hear this mentioned often, if ever, and wanted to take a minute to paint a more complete picture.

Joel Mearig @technologybytes