Telecommunications Resellers Industry Profile

Report Page Length: 10-12
Last Quarterly Update: 7/31/2017
SIC Codes: 4813
NAICS Codes: 517911
Chapters Include:
Industry Overview Trends & Challenges Industry Forecast
Quarterly Industry Update Call Prep Questions Website & Media Links
Business Challenges Financial Information Glossary & Acronyms
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Excerpt from Telecommunications Resellers Industry Profile

Companies in this industry purchase network access and capacity from telecommunications carriers and resell wired and wireless telecommunications services to businesses and households. Most major carriers provide network access to resellers on a wholesale basis and also own reseller brands. Major US companies include Boost Mobile and Virgin Mobile USA (both owned by Sprint), Cricket Communications (owned by AT&T), and MetroPCS (owned by T-Mobile); independent US resellers include Best Cellular and Ultra Mobile. Major companies based outside the US include TracFone (a subsidiary of Mexican wireless carrier América Móvil) and the UK's Virgin Mobile.

Worldwide, the wireless telecommunications reseller market is expected to exceed $85 billion by 2022, according to Global Market Insights. Europe is the largest market for the industry. The Asia/Pacific region, driven by China, represents a major growth opportunity.

The US telecommunications resellers industry includes about 2,400 establishments (single-location companies and units of multi-location companies) with combined annual revenue of about $18 billion.

COMPETITIVE LANDSCAPE

Demand is driven by consumer spending, growth in business activity, and new technology. The profitability of individual companies depends on efficient operations and good marketing and customer service. Large companies enjoy economies of scale in purchasing telecommunications services to resell. Smaller companies can compete effectively in niche geographic markets. The US industry is concentrated: the top 50 companies account for about 75% of revenue.

Telecommunications resellers compete with wireless service providers and their prepaid ...

 
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