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Asymmetric access pricing in the Internet backbone market


  • López, Ángel Luis


For an arbitrary number of networks, I study the impact of asymmetric interconnection charges on competition for consumers and websites in the Internet backbone market. I show that the configuration of interconnection charges has important implications for the market structure.

Suggested Citation

  • López, Ángel Luis, 2011. "Asymmetric access pricing in the Internet backbone market," Economics Letters, Elsevier, vol. 112(1), pages 3-6, July.
  • Handle: RePEc:eee:ecolet:v:112:y:2011:i:1:p:3-6

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    References listed on IDEAS

    1. Lippert, Steffen & Spagnolo, Giancarlo, 2008. "Internet peering as a network of relations," Telecommunications Policy, Elsevier, vol. 32(1), pages 33-49, February.
    2. Laffont, Jean-Jacques & Marcus, Scott & Rey, Patrick & Tirole, Jean, 2003. " Internet Interconnection and the Off-Net-Cost Pricing Principle," RAND Journal of Economics, The RAND Corporation, vol. 34(2), pages 370-390, Summer.
    3. Jahn, Eric & Prüfer, Jens, 2008. "Interconnection and competition among asymmetric networks in the Internet backbone market," Information Economics and Policy, Elsevier, vol. 20(3), pages 243-256, September.
    4. Shrimali, Gireesh & Kumar, Sunil, 2008. "Bill-and-Keep peering," Telecommunications Policy, Elsevier, vol. 32(1), pages 19-32, February.
    5. Cremer, Jacques & Rey, Patrick & Tirole, Jean, 2000. "Connectivity in the Commercial Internet," Journal of Industrial Economics, Wiley Blackwell, vol. 48(4), pages 433-472, December.
    6. Jean-Jacques Laffont, 2001. "Internet Peering," American Economic Review, American Economic Association, vol. 91(2), pages 287-291, May.
    7. Badasyan, Narine & Chakrabarti, Subhadip, 2008. "A simple game-theoretic analysis of peering and transit contracting among Internet service providers," Telecommunications Policy, Elsevier, vol. 32(1), pages 4-18, February.
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