The division will identify future revenue streams such as 3G services and other areas of new product development.
Steele will be supported in the division by head of commercial development Damian Blackburn and head of strategy Mike Tomlinson, who have been promoted internally. Steele will continue to report to chief executive Tom Alexander.
Steele helped found Virgin Mobile three-and-a-half years ago as marketing director.
He has most recently represented the group in its legal dispute with joint venture partner T-Mobile, which it has accused of "material breaches" of its agreement.