State-owned telecom operator, National Telecom (NT), will cease allocating spectrum capacity to mobile virtual network operators (MVNOs) as its rights to use the 850 MHz, 2100 MHz, and 2300 MHz spectrum bands are set to expire at the end of August, 2025.
MVNOs provide mobile services without owning their own infrastructure, instead leasing network access from major operators.
NT President, Col Sanphachai Huvanandana, confirmed that following the expiration of these spectrum bands, NT will only retain its 700 MHz spectrum, which it secured in a 2020 auction. Additionally, NT does not plan to participate in the National Broadcasting and Telecommunications Commission's (NBTC) upcoming auction of six spectrum bands scheduled for April this year.
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Current MVNO Landscape
Huvanandana noted that many MVNOs are struggling with financial liquidity and are unable to pay service fees to NT due to high roaming costs with other network providers.
Following the expiration of NT’s three spectrum bands, the company will exit the MVNO market, affecting around five MVNO contracts and approximately 100,000 subscribers.
He stated that the NBTC should take responsibility for ensuring MVNOs can sustain their operations. If the regulator expects NT to support the MVNO ecosystem, he argued that fair regulations on roaming fees should be implemented, similar to interconnection charges between major telecom operators.
NBTC commissioner, Somphop Purivigraipong, who oversees telecom affairs, explained that MVNO operations have become unviable due to excessive network roaming costs and NT’s lack of available spectrum after its licenses expire.
Many MVNOs are seeking alternative partnerships by leasing network access from other telecom providers.
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The Alternative: MVNA Model
Purivigraipong highlighted that foreign consultants have suggested adopting the mobile virtual network aggregator (MVNA) model, where an intermediary purchases wholesale mobile and data services from major operators and resells them to MVNOs. However, regulating roaming fees remains a challenge due to legal constraints, meaning pricing negotiations will primarily be left to market players.
He stated that while the NBTC maintains regulatory oversight, excessive intervention in a commercial market may not be the right approach.
NBTC is set to hold a public hearing to discuss the auction draft for the six spectrum bands. During the session, the commission will propose the MVNA model as a potential solution for balancing the interests of major operators and smaller MVNOs.
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