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The Impact of Shared Telecom Infrastructure on Digital Connectivity and Inclusion

Author

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  • Houngbonon, Georges V.
  • Ivaldi, Marc
  • Palikot, Emil
  • Strusani, Davide

Abstract

Nearly half the world remains offline, and capital scarcity stalls new network buildouts. Sharing existing mobile towers could accelerate connectivity. We assemble data on 107 tower-sharing deals in 28 low-income countries (2008–20) and estimate staggered difference-in-differences effects. Two years after a transaction covering over 1,000 towers, the PPP-adjusted mobile-price index falls $1.60 (s.e.1.10) from a baseline of $3.16, while data prices drop $1.00 (0.29), baseline $3.41/GB. The number of mobile connections increases. Rural internet access increases by 4.7pp and female-headed households by 3.6 pp. Tower-sharing agreements increase product market competition as measured by Herfindahl–Hirschman Index.

Suggested Citation

  • Houngbonon, Georges V. & Ivaldi, Marc & Palikot, Emil & Strusani, Davide, 2025. "The Impact of Shared Telecom Infrastructure on Digital Connectivity and Inclusion," CEPR Discussion Papers 20523, C.E.P.R. Discussion Papers.
    • Handle: RePEc:cpr:ceprdp:20523
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    File URL: https://cepr.org/publications/DP20523
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    More about this item

    JEL classification:

    • L96 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Telecommunications
    • L14 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Transactional Relationships; Contracts and Reputation
    • O14 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Industrialization; Manufacturing and Service Industries; Choice of Technology

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