When it comes to phone plans in Australia, you might have seen the term ‘ MNVO’ and wondered what it is. More importantly, you might be wondering if it makes a difference to your phone plan and service.

Here, we’ve done the research for you and will provide you with everything you need to know about MVNOs, so read on to find out more.

What is an MVNO and how do they work?

So, what exactly is an MVNO? The term MVNO stands for ‘Mobile Virtual Network Operator’. What this means, is that an MVNO can offer phone plans to its customers, but it doesn’t actually own the mobile network technology used for those services.

To put things in perspective, in Australia there are three big telcos that are otherwise known as the big three. These telcos are Optus, Telstra and Vodafone. For each of these telcos, they own the mobile network technology that’s why when you buy a phone plan from them you can get increased access like 5G coverage.

With that, however, customers tend to assume that you should be getting a plan for one of these providers to receive the best coverage. That’s not always the case though, and we’ll explain further below.

With MVNOs they are smaller companies in comparison to those telcos and most of them are independently owned, there are some that could be an umbrella company or owned by one of the big three telcos.

When it comes to MVNOs, they purchase network services at wholesale prices so they often provide cheaper plans than what you’d usually get from the big three - especially since there are fewer costs associated with the network services.

Most MVNOs also don’t have entertainment bonuses tagged onto their plan and in some instances there isn’t an option of buying new phones. There are, however, some MVNOs that provide you with the option to get a phone with a plan and it still ends up cheaper than if you were to get it from one of the big three.

Pros and cons of MVNOs

You might be thinking - okay so now I know what a MVNO is, why should I go for one? It really depends on your circumstances and what you’re looking for in a phone plan. Here are some pros and cons to break it down further for you:

Often more inexpensive and also better value for money (you’re getting more data at an inexpensive price)

Comes with plans that start at $5/month with 5GB - great for those that are starting out with using a phone or don’t use your phone much.

Comes with a wide range of data plans to suit your needs.

A great option if you’ve already got a phone and just need a plan.

Phone plans from MVNOs

When you’re choosing a phone plan, make sure you’ve got a budget in mind. As much as you’d like to sign up to a super inexpensive phone plan, it may not suit your needs. Remember to take all of the inclusion you need and how much you can afford into consideration.

Here’s a snapshot of the plans that we offer here at Circles.Life

• 5GB for $10/month
  
• 30GB for $20/month
  
• 50GB for $30/month
  
• 100GB for $40/month

Are MVNOs a good option?

While one of the biggest draw of MVNOs is the lower price, it also comes with plenty of other benefits such as:

Good network coverage

Sure, it may not have as a wide of a coverage as some of the big three, but you’re still talking fast and reliable network coverage.

Great if you’re not a fan of extra features

All of those extra entertainment features can add up and sometimes it may not be something you need. If you’re after a no-frills plan then MVNOs are for you.

No need a phone on a plan

If you don’t require a phone as part of a mobile plan, MVNOs are perfect. They offer a great basic SIM-only plan with sufficient data that’s some of the best mobile plan deals around.