Mobile Week in Review

Report Type: 
Week In Review
Overview

MobileX partners with Walmart

At Mobile World Congress Las Vegas, prepaid player MobileX announced its new exclusive partnership with Walmart. While MobileX entered the market in February, this new initiative will bring the company to a significantly broader audience. The carrier’s mission is to offer affordable cellular service that is also customizable to individuals’ needs, running on Verizon’s network.

Pricing for their Personalized Access plan starts at $4.08 per month, with the capability to add optional features and roll over unused data. Higher-tier plans offer various amounts of high-speed data standard (5GB on the $14.88/month plan and 30GB for $24.88/month) with unlimited talk and text, and optional add-ons for additional data and communication to Canada and Mexico. Part of the company’s value proposition is the use of AI to detect cases in which a customer may not be taking full advantage of their plan’s services, and it will notify them of the opportunity to save money by reducing the plan. 

MobileX SIM cards are available for purchase at Walmart beginning in October and will be usable in unlocked phones for which any financing has been fully paid off. The MobileX SIM Card starter pack costs $9.88 with activation. The MobileX SIM card product page on Walmart.com also provides a QR code to ensure phone compatibility. New customers will receive up to $10 credit towards their first month’s bill upon activating and selecting a plan. 

The Circana Take:

  • Cellular service is not a luxury in today’s connected environment. Making it affordable is an initiative addressed by many prepaid carriers, but MobileX’s business model appears to make plans extraordinarily customizable for customers who need simplicity and just the basics. The implementation of AI advising on data usage creates an element of transparency, as the company aims to avoid charging customers beyond their needs. 
  • Mobile X is founded by Peter Adderton, the creator of the Boost Mobile brand (as well as Amp’d Mobile), and it was his vision and business credibility that helped Mobile X start its distribution career in the major league (Walmart) without having to prove its business model in the minor distribution leagues. Partnering with Walmart, the nation’s largest prepaid service distributor, will help Mobile X gain awareness, allow for accessibility, and foster trust
  • Mobile X's entry into Walmart stores poses new challenges for Verizon, as its Tracfone prepaid business heavily depends on Walmart distribution, especially in the case of StraightTalk, which is sold exclusively through Walmart.
  • According to our August 2023 Connected Intelligence Mobility survey, 16% of smartphone owners believe their service plans are too expensive. This is the most common carrier-related point of dissatisfaction studied. In this challenging economic climate, we also found that half of consumers are likely to seek ways to cut back on mobile-related products or services, and 21% of people this group plan to switch to a more affordable carrier to save money. MobileX’s launch timing could prove helpful for the business. 
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