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Single eComms Market? No Such Thing…

Author

Listed:
  • Jacques PELKMANS

    (College of Europe, Brugge, and CEPS, Brussels)

  • Andrea RENDA

    (CEPS, Brussels, and Luiss Guido Carli, Rome)

Abstract

Notwithstanding the undeniable success of telecoms liberalisation in terms of price reduction, new services and technologies as well as consumer satisfaction, EU telecoms policy is at least a half failure. This might seem hard to believe, but we show in this paper that there is no such thing as an EU telecoms (or eComms) single market. We provide ample empirical economic and regulatory evidence of profound and lingering fragmentation as well as a brief assessment of the flaws of the eComms package as amended in 2009, and recently entered into force. Overcoming the fragmentation cannot but yield a considerable welfare improvement for the Union, which is exactly what a single market should be expected to deliver. Doing away with the flaws in the EU system requires a better institutional design. We wonder whether the regulatory (and competition policy) approach is really suitable for the Union and whether the fundamental conflict between the EU constitutional doctrine and the building of the single market (just as much a constitutional duty!) should not be resolved in novel ways.

Suggested Citation

  • Jacques PELKMANS & Andrea RENDA, 2011. "Single eComms Market? No Such Thing…," Communications & Strategies, IDATE, Com&Strat dept., vol. 1(82), pages 21-42, 2nd quart.
    • Handle: RePEc:idt:journl:cs8201
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    File URL: http://repec.idate.org/RePEc/idt/journl/CS8201/CS82_PELKMANS_RENDA.pdf
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    References listed on IDEAS

    as
    1. de Streel, Alexandre, 2008. "Current and future European regulation of electronic communications: A critical assessment," Telecommunications Policy, Elsevier, vol. 32(11), pages 722-734, December.
    2. Michał Grajek & Lars-Hendrik Röller, 2012. "Regulation and Investment in Network Industries: Evidence from European Telecoms," Journal of Law and Economics, University of Chicago Press, vol. 55(1), pages 189-216.
    3. Mario Pietrunti, 2010. "Regulation and Investment Incentives for Next Generation Broadband Access Networks," Chapters, in: Morten Falch & Jan Markendahl (ed.), Promoting New Telecom Infrastructures, chapter 2, Edward Elgar Publishing.
    Full references (including those not matched with items on IDEAS)

    Citations

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    Cited by:

    1. Joanna Dreger & Aimé Heene, 2013. "European Integration and Europeanisation: Benefits and Disadvantages for Business," Bruges European Economic Policy Briefings 29, European Economic Studies Department, College of Europe.
    2. Philippe DEFRAIGNE & Alexandre de STREEL, 2011. "Where Should the European Union Intervene to Foster the Internal Market for eComms?," Communications & Strategies, IDATE, Com&Strat dept., vol. 1(82), pages 63-84, 2nd quart.
    3. Wolfgang Kerber & Julia Wendel, 2014. "Regulation of Network Sectors in the EU: A Federalist Perspective," MAGKS Papers on Economics 201422, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).
    4. Karamti, Chiraz, 2019. "Lopsided effects of telecom reforms on mobile markets in the enlarged EU: Evidence from dynamic quantile model," Telecommunications Policy, Elsevier, vol. 43(3), pages 238-261.
    5. Pelkmans, Jacques & Renda, Andrea, 2014. "Does EU regulation hinder or stimulate innovation?," CEPS Papers 9822, Centre for European Policy Studies.
    6. Polykalas, Spyros E. & Prezerakos, George N., 2015. "Measuring the impact of market competition analysis process in EU׳s electronic communications sector: Catalyst or impediment towards market competition?," Telecommunications Policy, Elsevier, vol. 39(3), pages 241-252.

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    More about this item

    Keywords

    electronic communications; Internal Market; liberalisation; spectrum; regulatory authorities; price differentials.;
    All these keywords.

    JEL classification:

    • F15 - International Economics - - Trade - - - Economic Integration
    • L51 - Industrial Organization - - Regulation and Industrial Policy - - - Economics of Regulation
    • L96 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Telecommunications

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