A Mobile Virtual Network Operator is a company that does not own a licensed frequency spectrum, but resells wireless services under their own brand name, using the network of another mobile phone operator.

An MVNO's roles and relationship to the mobile phone operator vary by market. In general an MVNO is an entity or company that works independently of the operator and can set its own tariff structures. Usually, it does not own any GSM infrastructure, such as Mobile Switching Center (MSC) or a radio access network. Some may own their own Home Location Register (HLR), which allows more flexibility since multiple host networks could be used, and the MVNO appears as a roaming partner.

MVNOs may be classified in accordance with their marketing strategies

- Discount MVNOs provide cut-price call rates to market segments. Their strategy is based on cheap prepaid or postpaid tariffs with basic voice and SMS services.

- Lifestyle MVNOs focus on specific niche market demographics such as young users.

- Segmentation-Driven Strategies - mobile operators often find it difficult to succeed in all customer segments. MVNOs are a way to implement a more specific marketing mix, whether alone or with partners and they can help attack specific, targeted segments.

- Network Utilisation-Driven Strategies - Many mobile operators have capacity, product and segment needs - especially in new areas like 3G. An MVNO strategy can generate economies of scale for better network utilisation.

- Product-Driven Strategies - MVNOs can help mobile operators target customers with specialised service requirements and get to customer niches that mobile operators cannot get to.

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