Revolut expands into telecom: Can the fintech unicorn keep up with Vodafone and Telekom?

Revolut, the fintech giant serving over 50 million customers globally, has announced its entry into telecommunications with mobile plans in the UK and Germany. This strategic initiative, announced on April 30, 2025, marks a major expansion beyond Revolut’s core financial services as the company positions itself to compete with traditional telecom providers.
The move signals Revolut’s vision of becoming a lifestyle “super-app” — a central hub for banking, investing, travel, and now mobile connectivity. Earlier last week, Revolutreported a record £3.1 billion in revenuefor 2024, showing substantial growth from 2023 and demonstrating its financial strength as it enters this new market.
Revolut’s new mobile plans will offer customers unlimited calls, texts, and data in their home countries without fixed contracts. The service comes with generous roaming allowances: UK customers receive 20GB of data across the EU and the US, while German customers get 40GB of EU roaming. For early adopters who join the waitlist, the company offers an introductory rate of £12.50 monthly, positioning itself as a cost-effective alternative to the UK’s big four operators.
The mobile plans integrate seamlessly with Revolut’s existing app ecosystem. Users can select a Revolut number or keep their existing one, track usage through the app, use RevPoints for payments, and activate service within minutes. This digital-first approach targets tech-savvy users who prefer managing all their services through apps.
“The massive success of our eSIM product launch has proven that mobile offerings are ripe for disruption. In our view, consumers are suffering with traditional network offerings due to a lack of transparency with hidden fees, painful customer experience and old, difficult to navigate UX,” explainedHadi Nasrallah, General Manager, Telco and Retail Director at Revolut.
Revolut will operate as a Mobile Virtual Network Operator (MVNO), leasing network capacity from established telecoms rather than building infrastructure. While specific operating partners remain undisclosed, representatives hint at partnerships with major pan-European carriers.
This strategy enables Revolut to enter the telecommunications market with minimal infrastructure costs while leveraging its substantial customer base, over 10 million users in the UK and 2 million in Germany. As a market disruptor, Revolut aims to attract customers who are dissatisfied with traditional providers’ roaming charges, inflexible contracts, and outdated digital experiences.
The timing is significant for the UK mobile sector, as Vodafone and Three’s £15 billion merger reshapes a market currently dominated by four major operators: EE, Virgin Media O2, Vodafone, and Three. Revolut isn’t alone in spotting this opportunity — Octopus Group, known for its Octopus Energy brand, is also exploring UK MVNO plans, indicating a broader trend of non-telecom brands entering the market.
This telecom initiative marks Revolut’s latest evolution from digital banking to a comprehensive lifestyle and financial services provider. The company has successfully disrupted several markets, including travel insurance, stock trading, and cryptocurrency. Its eSIM travel data service, launched in 2024, proved popular among frequent travellers, showing clear demand for innovative mobile services.
Revolut’s entry into telecoms promises several consumer benefits, including increased competition, transparent pricing, contract-free options, greater flexibility, streamlined digital services, and the integration of financial and telecom services on a single platform.
AsTomaso Duso, department head at DIW Berlin and chairman of the German monopolies commission, noted (though not specifically about Revolut): “MVNOs have the potential to bring benefits to consumers” and “do not appear to be a barrier to investment”.
Despite its advantages, Revolut might face notable challenges. As an MVNO, its quality and reliability depend on those of its network partners. Managing customer support and technical issues at scale presents new challenges, particularly since telecom users are more sensitive to service disruptions than banking customers. Established operators can counter with competitive pricing, bundles, and loyalty programs, making it difficult for newcomers to gain significant market share.
Regulatory hurdles, including post-Brexit roaming rules and data privacy requirements, will need careful management. While Revolut’s brand resonates with younger, digitally native consumers, winning the trust of mainstream users for their primary mobile service remains uncertain.
Revolut plans to launch its mobile plans in the UK and Germany later this year, with more markets to follow. The company frames this as “yet another step for Revolut into the consumer telecommunications arena, where innovation is desperately overdue.” Industry watchers will monitor whether Revolut can replicate its fintech success in this highly competitive sector.
As financial services, telecommunications, and digital offerings increasingly overlap, Revolut’s expansion shows how digital-native companies are breaking down industry barriers to create integrated, user-friendly ecosystems. Success here could catalyse innovation and push established providers to modernise their services.