Mobile Operators Explained: Virtual Networks and Coverage

January 2nd, 2010

Is your mobile phone on a “real” network or a virtual network? Most people don’t know the difference. In this guide, we explore the difference between the two types of networks and explain why it’s vital to know which network you’re really on.

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What’s a MVNO/virtual network?

MVNO stands for “mobile virtual network operator”. A virtual network operator runs a mobile phone service but does not actually own the infrastructure or the spectrum it uses – instead they will lease it from a “real” mobile network operator.

One example of a real network is O2. O2 have a network of mobile phone masts across the UK and they are licensed by OFCOM to use a certain band in the radio wave spectrum for the provision of that service (i.e. calls and texts).

A virtual network operator such as Tesco doesn’t actually own any masts or spectrum. Tesco uses O2′s infrastructure so if you make a call on the Tesco network, it’s really going through the O2 network. Although you pay your bill to Tesco the underlying service should theoretically be identical.  However, some services such as directories enquiries, voicemail and customer support could be handled the virtual network operator.

Why is it important to know which “real” network you’re using?

Your phone will talk to the “real” network’s masts and your calls and texts will be routed through their network. If you’re making a decision on a network based upon quality of reception and the reliability of the network, you need to know which network infrastructure your calls & texts are going through.

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For example, it’s no good leaving O2 because you can’t receive a good signal simply to join Tesco and have the same reception problems!

What’s the relationship between a “real” networks and the virtual networks?

It depends on the exact relationship between the virtual network operator and the “real” network they use. Sometimes the virtual network will do nothing more than manage the relationship with the customer – the underlying service is identical but the only real difference you’ll see is the branding. Sometimes the virtual networks will handle the routing of calls and texts themselves and hence be able to undercut the “real” network’s prices.

Generally, virtual network customers are treated as a separate network. An O2 customer calling a Tesco Mobile will be billed for a cross-network call rather than a same-network call. A Tesco Mobile customer couldn’t use an O2 top-up card, etc. You also won’t be able to use a Tesco Mobile SIM card in an O2-locked phone (see our guide on locked handsets).

Which networks are the real networks?

The UK currently has five “real” networks. They are:

  • 3 (although you’ll be using Orange’s network if you’re not in a 3G area)
  • O2
  • Orange
  • T-Mobile
  • Vodafone

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Things will change later this year as Orange and T-Mobile have agreed to merge.

Which networks are virtual operators?

This isn’t a comprehensive of all of the virtual operators in the UK but are the main virtual networks aimed at consumers:

Virtual Network Real Network (Network Operator)
ASDA Mobile Vodafone
Giffgaff O2
Ikea T-Mobile
Lebara Mobile Vodafone
Lycamobile Orange
Sainsbury’s Mobile O2
Talkmobile (Carphone Warehouse) Vodafone
Tesco O2
Virgin Mobile T-Mobile

Note that virtual networks may occasionally change the “real network” they use. For example, Lycamobile recently signed an agreement with O2. It’ll be interesting to see whether existing LycaMobile customers get moved from Orange to O2.

How can I check the coverage for my area?

Now that you know which real network you’re on you can type in your postcode on their coverage checker:

Choosing a network?

If you’re currently looking to choose a network or tariff, please see our guides on changing phone, network or tariff.

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About the Author: Hi! I'm Ken. I've been using mobiles for over 10 years and technology for a lot longer! I'd love to hear from you.

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2 Responses to “Mobile Operators Explained: Virtual Networks and Coverage”

  1. [...] the network you are considering is not on this list, it is a mobile virtual network operator (MVNO) meaning that it leases network capacity from one of the above networks. For example, Giffgaff is a [...]

  2. [...] is a virtual mobile network running off the O2 network. It’s essentially a subsidiary of O2 (O2 own Giffgaff) which [...]

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