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Asymmetry and discrimination in Internet peering: evidence from the LINX

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  • D'Ignazio, Alessio
  • Giovannetti, Emanuele

Abstract

Is the quality of interconnection between Internet operators affected by their asymmetry? While recent game theoretic literature provides contrasting answers to this question, there is a lack of empirical research. We introduce a novel dataset based on Internet routing policies, and study the interconnection decisions amongst the Internet Service Providers (ISPs) that are members of the London Internet Exchange Point (LINX). Our results show that interconnection quality degradation can be significantly explained by asymmetry between providers. We also show that Competition Authorities should also focus on the "centrality of an operator", and not only on its market share.

Suggested Citation

  • D'Ignazio, Alessio & Giovannetti, Emanuele, 2009. "Asymmetry and discrimination in Internet peering: evidence from the LINX," International Journal of Industrial Organization, Elsevier, vol. 27(3), pages 441-448, May.
  • Handle: RePEc:eee:indorg:v:27:y:2009:i:3:p:441-448
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    Cited by:

    1. D’Ignazio, Alessio & Giovannetti, Emanuele, 2014. "Continental differences in the clusters of integration: Empirical evidence from the digital commodities global supply chain networks," International Journal of Production Economics, Elsevier, vol. 147(PB), pages 486-497.
    2. repec:oup:jeurec:v:15:y:2017:i:4:p:784-817. is not listed on IDEAS
    3. D’Ignazio, Alessio & Giovannetti, Emanuele, 2015. "Predicting internet commercial connectivity wars: The impact of trust and operators’ asymmetry," International Journal of Forecasting, Elsevier, vol. 31(4), pages 1127-1137.
    4. Syngjoo Choi & Andrea Galeotti & Sanjeev Goyal, 2017. "Trading in Networks: Theory and Experiments," Journal of the European Economic Association, European Economic Association, vol. 15(4), pages 784-817.

    More about this item

    Keywords

    Internet peering Two-sided markets Network industries Antitrust Net neutrality;

    JEL classification:

    • L14 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Transactional Relationships; Contracts and Reputation
    • L86 - Industrial Organization - - Industry Studies: Services - - - Information and Internet Services; Computer Software
    • L96 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Telecommunications
    • C81 - Mathematical and Quantitative Methods - - Data Collection and Data Estimation Methodology; Computer Programs - - - Methodology for Collecting, Estimating, and Organizing Microeconomic Data; Data Access
    • L40 - Industrial Organization - - Antitrust Issues and Policies - - - General

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