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Competition via investment,an efficient model for FTTH roll-out

Author

Listed:
  • Marc LEBOURGES

    (France Telecom)

Abstract

The debate on the regulation of Next General Access started in Europe several years ago. It addresses the question of whether or not fibre access networks should be subject to the same regulation as the copper local loop. This debate is often examined as competition vs. investment. The present paper suggests that the best way for regulation to solve the dilemma is to promote competition through competitive investments in the fibre access market. In particular a combination of individual and co-investment from/among competing fibre operators could provide the desired outcome in terms of efficient investment, coverage, competition, innovation and prices/cost. Such an option corresponds to the choice of several European national regulators. It is also the the historical and highly successful option used in European mobile markets.

Suggested Citation

  • Marc LEBOURGES, 2010. "Competition via investment,an efficient model for FTTH roll-out," Communications & Strategies, IDATE, Com&Strat dept., vol. 1(78), pages 45-66, 2nd quart.
    • Handle: RePEc:idt:journl:cs7803
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    Cited by:

    1. Rendon Schneir, Juan & Xiong, Yupeng, 2013. "Economic implications of a co-investment scheme for FTTH/PON architectures," Telecommunications Policy, Elsevier, vol. 37(10), pages 849-860.

    More about this item

    Keywords

    NGA; FTTH; Regulation; Competition; Dynamic and Static Efficiency.;
    All these keywords.

    JEL classification:

    • D43 - Microeconomics - - Market Structure, Pricing, and Design - - - Oligopoly and Other Forms of Market Imperfection
    • K23 - Law and Economics - - Regulation and Business Law - - - Regulated Industries and Administrative Law
    • L51 - Industrial Organization - - Regulation and Industrial Policy - - - Economics of Regulation
    • L96 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Telecommunications

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