The Cutting Room – A bold move from Lyca

After much anticipation, new ethnic market MVNO Lycamobile will finally launch this week; the sixth MVNO to join Orange’s fold.

While the announcement itself is no surprise, some interesting words have come from talking heads within both companies.

Lyca’s Kangle is one ambitious man who has no doubt Lyca can trample all over the competition, including current market leader Lebara, suggesting none of its UK rivals will have the resources to undercut it.

Big call, but it has already given an idea of how deep its pockets are by putting £10 million on the table for marketing alone.

It has also launched with a UK calling price to match both Lebara’s and those of the incumbent networks, plus free credit incentives that will be sure to lure customers.

Meanwhile, we’d be quick to say Orange’s MVNO hunting days are numbered, much like a family with six kids says there’s no more room in the Range Rover.

But no way, says Orange, declaring there is indeed room for more. We can only guess in which markets, as it seems the ethnic arena is getting crowded and youth is proving a challenge.

We will have to wait and see what they surprise us with next.