Mobilezone’s ‘High’ Brand Hits Record Growth, Signaling a Telecom Strategy Shift
Berlin, Germany – July 17, 2025 – In a surprising turn amidst a broader industry slowdown, Mobilezone’s own-brand telecom service, ‘High,’ has reported a record-breaking June for new customer acquisitions. This surge comes as the company executes a strategic realignment, prioritizing profitability over sheer sales volume – a move that’s already reshaping its position in the competitive German mobile market. This is breaking news for anyone following the European telecom landscape, and a potential indicator of changing consumer preferences.
The Rise of ‘High’ and the MVNO Strategy
The ‘High’ brand, positioned in the mid-price segment (between 10 and 20 euros), operates as a Mobile Virtual Network Operator (MVNO), leveraging existing telecom networks. June’s performance marks the highest number of new customers ever acquired by ‘High,’ significantly contributing to the growth of Mobilezone’s MVNO business in the first half of 2025. Alongside ‘High,’ the Simyo brand, targeting price-sensitive customers, also saw a substantial increase in sales. Combined, sales for both brands jumped 32.9 percent to EUR 21.0 million in the first six months of the year.
But this success isn’t happening in a vacuum. MVNOs, like ‘High’ and Simyo, are becoming increasingly popular as consumers seek flexible and affordable mobile plans. They offer a compelling alternative to the traditional, larger telecom providers, often specializing in specific niches or demographics. The growth of MVNOs globally demonstrates a shift in power, giving consumers more choice and driving down prices.
A Strategic Pivot: Profitability Over Volume
This positive performance for ‘High’ and Simyo is occurring while Mobilezone overall experiences a decline in total mobile phone contracts conveyed in Germany. The company reported 499,000 contracts in the first half of the year, a 9.8 percent decrease year-over-year. The online channel saw a steeper drop of 12.8 percent, with specialist shops declining by 6.0 percent.
This apparent contradiction is intentional. Mobilezone initiated a strategic realignment in December 2024, shifting its focus from simply maximizing contract numbers to securing contracts with higher contribution margins. According to Markus Bernhard, executive delegate of the board of directors, “We are convinced that the sales strategy based on gross profit in the online business, in addition to the further development of the MVNO business, is the right forward strategy.” Essentially, Mobilezone is betting that fewer, more profitable contracts will ultimately lead to greater long-term success. This is a bold move, and one that many in the industry are watching closely.
Navigating Increased Competition and Future Outlook
While the MVNO segment is thriving, Mobilezone acknowledges challenges. Simyo’s growth, after a strong start in late 2024, has recently slowed due to increased competition in the low-price segment. This highlights the dynamic nature of the telecom market and the constant need for innovation and differentiation. ‘High’ is currently sold through its own website (High-mobile.de) as well as popular comparison platforms like sparhandy.de, deinhandy.de, and check24.de, and also in brick-and-mortar stores.
Looking ahead, Mobilezone anticipates stabilizing contract volumes in Germany during the second half of 2025. The company projects exceeding 480,000 postpaid customers across the group and expects an EBIT margin between 2.8 and 3.3 percent in Germany, slightly below the previous year, but maintaining its commitment to higher-margin contracts. This suggests a continued focus on quality over quantity, and a willingness to sacrifice short-term gains for long-term sustainability.
Mobilezone’s strategic shift represents a fascinating case study in the evolving telecom landscape. By prioritizing profitability and focusing on the growth of its MVNO brands, the company is positioning itself for success in a market increasingly defined by consumer choice and competitive pricing. The coming months will be crucial in determining whether this strategy will deliver the desired results, but the early signs are certainly encouraging. Stay tuned to Archyde for continued coverage of this developing story and the latest insights into the German and European telecom markets.
