Ex ante regulation and co-investment in the transition to next generation access

Bourreau, Marc; Cambini, Carlo; Hoernig, Steffen

doi:10.1016/j.telpol.2011.11.024

Cited by 58 publications

(11 citation statements)

References 24 publications

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“…To aid the development of FTTH infrastructure, Public-Private Partnerships (PPPs) has also been utilized to deal with the capital intensive nature of deploying FTTH (EPEC, 2012;Bourreau et al, 2012). However in markets where PPPs are adopted, the adoption by end-subscribers of FTTH is slow.…”

Section: I B E R a L I Z A T I O Nmentioning

confidence: 99%

Comparative analysis of Fiber-to-the-Home market liberalization in the EU: The case of Denmark, Sweden and the Netherlands

Williams

2017

Współczesne Problemy Ekonomiczne

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Section: I B E R a L I Z A T I O Nmentioning

confidence: 99%

Comparative analysis of Fiber-to-the-Home market liberalization in the EU: The case of Denmark, Sweden and the Netherlands

Williams

2017

Współczesne Problemy Ekonomiczne

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“…6 We further assume that a firm that does not invest, uses the old technology. 7 A firm , which has not invested, is characterized by   =   and   =   (the "old technology"). An investment amounting to   generates a more attractive offer   =      (the "new technology"), e.g., through faster uploads and downloads.…”

Section: Initial Observationsmentioning

confidence: 99%

Network investment, access and competition

Inderst

Peitz

2012

Telecommunications Policy

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We analyze the role of different contract types and access regulation on innovation and competition in telecommunications in the context of Next Generation Access Networks. Within a standard duopoly model, we show that ex-post access contracts lead less often to the duplication of investment, but to a wider roll-out compared to a market in which such contracts cannot be offered. In comparison to such ex-post contracts, ex-ante contracts lead to an even wider roll-out, but to a less frequent duplication of investments. Ex-ante contracts in particular, but also ex-post contracts, can be used to dampen competition.

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“…This is particularly the case in those network segments where alternative operators have invested; in national and regional backbone segments and also increasingly in local access directly connecting households in urban areas with next generation broadband. The latter investment may be seen as particularly valuable as high speed broadband has substantial positive spill-overs for the economy (Bourreau, Cambini and Hoernig (2012a) review relevant literature and estimates). Given that the regulators' main objective is to ensure competition, uncertainty arises about whether a nationally uniform regulatory approach remains valid or whether some form of regional deregulation would be warranted.…”

Section: Introductionmentioning

confidence: 99%

“…Traditional copper networks will be only progressively substituted by next generation infrastructure, and the regulation of both legacy and next generation infrastructure may affect this process and, in particular, investment incentives. Bourreau, Cambini and Hoernig (2012a) review the literature on migration. Most importantly, Bourreau, Cambini and Doğan (2012) find that regulated legacy access charges may affect investment in NGA in different ways.…”

Section: Introductionmentioning

confidence: 99%

Geographic Regulation and Cooperative Investment in Next Generation Broadband Networks - A Review of Recent Literature and Practical Cases

Balmer¹

2013

SSRN Journal

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Abstract:Alternative telecom operators have continuously invested in their own infrastructure in recent years. After more than a decade since liberalisation, competitive conditions have substantially changed, especially in urban areas. European regulatory authorities have acknowledged this development by starting regional deregulation. Additionally, different forms of cooperative investments in next generation broadband have appeared on the market. The effects of such schemes on competition, investment and welfare crucially depend on the fine details of implementation. For instance, in the case of joint-ventures, it matters how investment costs are shared and how internal and external access prices are determined. In the case of long-term access agreements, it is essential to consider how access tariffs are structured, whether they can adapt to market developments ex-post and whether contracts are signed before or after the investment takes place. Generally, many of these agreements allow some extent of risk sharing, offering the possibility to increase investment incentives when firms are not risk neutral. This article reviews the theoretical and empirical literature on geographic regulation and co-investments in next generation broadband. It is suggested that regulators consider introducing regulated co-investment agreements complementing current regulation or in some cases even substituting for it, in addition to considering geographically segmented access prices.

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Ex ante regulation and co-investment in the transition to next generation access

Cited by 58 publications

References 24 publications

Comparative analysis of Fiber-to-the-Home market liberalization in the EU: The case of Denmark, Sweden and the Netherlands

Comparative analysis of Fiber-to-the-Home market liberalization in the EU: The case of Denmark, Sweden and the Netherlands

Network investment, access and competition

Geographic Regulation and Cooperative Investment in Next Generation Broadband Networks - A Review of Recent Literature and Practical Cases

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