It is essential to know and comprehend mobile carriers to understand how cellphone subscription plans work. Let us take an instance in the United States; the primary mobile phone service national carriers are Verizon, AT&T, and T-Mobile. Despite U.S cellular providing only regional and not national coverage, it is also classified under MNOS. They are categorized as Mobile Network Operators (MNOs), and each of them is licensed (radio spectrum license) by the Federal Communications Commission (FCC). They also have their own individual network infrastructure, which they maintain, through which they provide cellular service. These comprise cellphone towers and transmitters’ usage.
There are also mobile carriers classified as Mobile Virtual Network Operators (MVNOs), including Boost Mobile, Cricket, and so on. They are often smaller and offer lower mobile service rates than the MNOs. They usually charge less since they do not invest in licensing and network infrastructure.
Mobile Virtual Network Operators (MVNOs) offer plans mainly for service, including prepaid and no-contract. They differ from the MNOs on the usage terms; however, they use the same network. The MVNOs usually are less expensive than the MNOs. MNOs have a payment plan to purchase most phones as an added advantage. They also offer post-paid accounts to pay for the services after the utilization period.
In addition, the traffic they have better reception than MVNOs. On the flip side, MNOs may have unanticipated data overages. Their payment and credit requirements are usually outrageous. Meanwhile, MVNOs allows their users’ phone of choice and does not have automatic payment or credit check requirements. Generally, MVNOs offer their services at lower prices than MNOs. However, they lack options for new phones payment plans. The services offered by MVNOs are also not well-grounded as those for MNOs. They also have unanticipated extra fees and data overages, which advance payments can avoid.