- The bank-telecom crossover is accelerating faster than regulators or customers expected
- Mobile connectivity is becoming another battleground for fintechs seeking customer retention
- Traditional carriers are responding to fintech incursions through travel eSIM spin-offs
A growing number of digital-only banks are experimenting with launching their own mobile network services, signaling a potential shift in how financial institutions engage with customers.
The idea of neobanks operating as mobile virtual network operators (MVNOs) is gaining traction as technology and telecommunications sectors converge.
However, analysts warn that while the technical feasibility has increased, the commercial logic behind such ventures remains largely unproven.
A new approach to customer engagement
Digital banks have already transformed financial services through app-based platforms and are now considering expanding their ecosystems to mobile connectivity.
By integrating network access into their apps, neobanks could connect to a loyalty-building feature that offers users travel data plans, mobile payments and account-linked perks.
According to GlobalData, this approach differs from traditional prepaid mobile strategies used by retailers or legacy banks.
For neobanks, success will depend on tightly integrating connectivity with financial services and creating a seamless, mobile-first customer experience that goes beyond banking.
Advances in eSIM adoption and turnkey MVNO platforms have lowered the technical barriers to entry as these developments make it easier for digital banks to offer connectivity without owning network infrastructure.
Still, analysts argue that commercial sustainability remains difficult to achieve.
Running an MVNO requires regulatory compliance, strong digital engagement and operational expertise that few neobanks currently have.
As GlobalData’s Natasha Rybak notes, the challenge lies not in launching such services, but in proving that customers will adopt and use them at scale.
For mobile incumbents, the rise of bank-based MVNOs does not necessarily pose a direct threat. In fact, many major airlines are already adapting to the evolving ecosystem.
Initiatives such as Orange Travel, eSimFLAG and Vodafone Travel eSIM demonstrate how telcos are using eSIM technology to create travel-focused digital brands and diversify revenue streams.
Some well-capitalized digital banks with large customer bases may successfully launch MVNO offerings, but experts believe widespread disruption to operators’ revenues is unlikely in the near term.
Without clear evidence of large-scale customer migration, most ventures may serve as strategic experiments rather than transformative shifts.
Still, 2026 could be a crucial year to test whether neobanks can turn mobile connectivity into a lasting competitive advantage.
Follow TechRadar on Google News and add us as a preferred source to get our expert news, reviews and opinions in your feeds. Be sure to click the Follow button!
And of course you can too follow TechRadar on TikTok for news, reviews, video unboxings, and get regular updates from us on WhatsApp also.
