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Regulation and innovation in the telecommunications industry


  • Bourreau, Marc
  • Dogan, Pinar


This paper aims to introduce issues that relate regulation and innovation in the telecommunications industry. We try to address the following question: which types of regulatory schemes are likely to promote innovation in a fast-growing telecommunications industry? Section 2 analyses ex ante control by sector-specific regulation and ex post control by competition policies. Section 3 deals with the importance of compatibility hence regulation of standards in the telecommunications industry. Section 4 discusses the major issues pertaining to the relation between innovation and pricing on the one hand, and innovation and unbundling on the other.

Suggested Citation

  • Bourreau, Marc & Dogan, Pinar, 2001. "Regulation and innovation in the telecommunications industry," Telecommunications Policy, Elsevier, vol. 25(3), pages 167-184, April.
  • Handle: RePEc:eee:telpol:v:25:y:2001:i:3:p:167-184

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    References listed on IDEAS

    1. Madden, Gary & Savage, Scott J. & Coble-Neal, Grant & Bloxham, Paul, 2000. "Advanced communications policy and adoption in rural Western Australia," Telecommunications Policy, Elsevier, vol. 24(4), pages 291-304, May.
    2. Lentz, R. G. & Oden, Michael D., 2001. "Digital divide or digital opportunity in the Mississippi Delta region of the US," Telecommunications Policy, Elsevier, vol. 25(5), pages 291-313, June.
    3. Strover, Sharon, 2001. "Rural internet connectivity," Telecommunications Policy, Elsevier, vol. 25(5), pages 331-347, June.
    4. Parker, Edwin B., 2000. "Closing the digital divide in rural America," Telecommunications Policy, Elsevier, vol. 24(4), pages 281-290, May.
    5. Ramírez, Ricardo, 2001. "A model for rural and remote information and communication technologies: a Canadian exploration," Telecommunications Policy, Elsevier, vol. 25(5), pages 315-330, June.
    6. McElhinney, Stephen, 2001. "Telecommunications liberalisation and the quest for universal service in Australia," Telecommunications Policy, Elsevier, vol. 25(4), pages 233-248, May.
    7. Gary Madden & Scott Savage & Michael Simpson, 1998. "Asia-Pacific Telecommunications USOs: Current Practice and Future Options," Prometheus, Taylor & Francis Journals, vol. 16(4), pages 485-498.
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    Cited by:

    1. Coenen, Marja & Kok, Robert A.W., 2014. "Workplace flexibility and new product development performance: The role of telework and flexible work schedules," European Management Journal, Elsevier, vol. 32(4), pages 564-576.
    2. Christian Jaag & Urs Trinkner, 2011. "A General Framework for Regulation and Liberalization in Network Industries," Chapters,in: International Handbook of Network Industries, chapter 3 Edward Elgar Publishing.
    3. Massaro, Maria & Pogorel, Gérard, 2015. "Next generation of radio spectrum management licensed shared access and the trade-off between static and dynamic efficiency," 2015 Regional ITS Conference, Los Angeles 2015 146322, International Telecommunications Society (ITS).
    4. Battistella, Cinzia, 2014. "The organisation of Corporate Foresight: A multiple case study in the telecommunication industry," Technological Forecasting and Social Change, Elsevier, vol. 87(C), pages 60-79.
    5. Zhang, Jing & Liang, Xiong-jian, 2012. "Promoting green ICT in China: A framework based on innovation system approaches," Telecommunications Policy, Elsevier, vol. 36(10), pages 997-1013.
    6. Mark Armstrong & David E.M. Sappington, 2006. "Regulation, Competition and Liberalization," Journal of Economic Literature, American Economic Association, vol. 44(2), pages 325-366, June.
    7. David J. Gabel & Kenneth Guang-Lih Huang, 2008. "Promoting Innovation And The Deployment Of Advanced Telecommunications Services To Businesses," Contemporary Economic Policy, Western Economic Association International, vol. 26(2), pages 229-247, April.
    8. repec:spr:scient:v:88:y:2011:i:1:d:10.1007_s11192-011-0344-7 is not listed on IDEAS
    9. P.W.J. De Bijl, 2005. "Structural Separation and Access in Telecommunications Markets," Competition and Regulation in Network Industries, Intersentia, vol. 6(2), pages 95-115, June.
    10. Pennings Jacqueline & Kranenburg Hans van & Hagedoorn John, 2005. "Past, Present and Future of the Telecommunications Industry," Research Memorandum 015, Maastricht University, Maastricht Research School of Economics of Technology and Organization (METEOR).
    11. Baranes, Edmond & Bourreau, Marc, 2005. "An Economist's Guide to Local Loop Unbundling," MPRA Paper 2440, University Library of Munich, Germany.
    12. Jerbashian, Vahagn, 2015. "The telecommunications industry and economic growth: How the market structure matters," Economic Modelling, Elsevier, vol. 51(C), pages 515-523.
    13. Grove, Nico & Baumann, Oliver, 2012. "Complexity in the telecommunications industry: When integrating infrastructure and services backfires," Telecommunications Policy, Elsevier, vol. 36(1), pages 40-50.
    14. Ghezzi, Antonio & Cortimiglia, Marcelo Nogueira & Frank, Alejandro Germán, 2015. "Strategy and business model design in dynamic telecommunications industries: A study on Italian mobile network operators," Technological Forecasting and Social Change, Elsevier, vol. 90(PA), pages 346-354.
    15. Ricardo Paredes, 2002. "A further step to deregulation, or the risk to destroy the incumbent: Chile’s Local Telephony Market," Working Papers wp194, University of Chile, Department of Economics.
    16. repec:eee:enepol:v:106:y:2017:i:c:p:614-624 is not listed on IDEAS
    17. Dierk Bauknecht, 2011. "Incentive Regulation and Network Innovations," RSCAS Working Papers 2011/02, European University Institute.
    18. Armstrong, Mark & Sappington, David E.M., 2007. "Recent Developments in the Theory of Regulation," Handbook of Industrial Organization, Elsevier.
    19. Bourreau, Marc & Dogan, Pinar, 2005. "Unbundling the local loop," European Economic Review, Elsevier, vol. 49(1), pages 173-199, January.
    20. Arup Bose & Debashis Pal & David E. M. Sappington, 2016. "On the Merits of Antitrust Liability in Regulated Industries," Journal of Law and Economics, University of Chicago Press, vol. 59(2), pages 359-392.


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