Disney shelves plan for UK MVNO

Aug 13 2006 - 06:17 PM ET | MVNO

Disney mobile logoDisney has cancelled its plans to launch a UK version of Disney Mobile. The company had announced the plan back in April before the official launch of Disney Mobile in the US market. The Telegraph reports:

Disney blamed a difficult retail market for its decision. It said: "Distribution outlets have been consolidating and there is now increased competition. However, we will keep one eye on the landscape."

The recent MVNO entrants in the US market have struggled to attract subscribers. Disney operates both Disney Mobile and ESPN Mobile and has faced pressure from analysts because of massive losses. Other fledging offerings include Amp'd Mobile and Helio. The whole vertical isn't in trouble though, MVNO's that focus on pre-paid customers, such as Virgin Mobile and TracFone, have seen considerable success.