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Self-destructive competition in cellular: regulatory options to harness the benefits of liberalisation

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  • Mureithi, Muriuki

Abstract

The last 10 years has seen a dramatic growth of cellular service overtaking fixed line service in Africa. This paper reviews the evolution of cellular over the last 10 years. The review finds that increasing competition alone without a change of regulatory framework at the market level has a negative impact on continued expansion of cellular. Competition within the present regulatory framework has a negative impact on penetration and results in increased tariffs which in turn affect affordability due to reducing economies of scale. The paper recommends that governments should urgently review the regulatory framework to remove restrictions on international and national cellular infrastructure.

Suggested Citation

  • Mureithi, Muriuki, 0. "Self-destructive competition in cellular: regulatory options to harness the benefits of liberalisation," Telecommunications Policy, Elsevier, vol. 27(1-2), pages 11-19, February.
    • Handle: RePEc:eee:telpol:v:27:y::i:1-2:p:11-19
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    Cited by:

    1. Rouvinen, Petri, 2006. "Diffusion of digital mobile telephony: Are developing countries different?," Telecommunications Policy, Elsevier, vol. 30(1), pages 46-63, February.
    2. Buys, Piet & Dasgupta, Susmita & Thomas, Timothy S. & Wheeler, David, 2009. "Determinants of a Digital Divide in Sub-Saharan Africa: A Spatial Econometric Analysis of Cell Phone Coverage," World Development, Elsevier, vol. 37(9), pages 1494-1505, September.
    3. Jahanbakht, Mohammad & Mostafa, Romel, 2020. "Coevolution of policy and strategy in the development of the mobile telecommunications industry in Africa," Telecommunications Policy, Elsevier, vol. 44(4).

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