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Fusions horizontales sur le marché de l'Internet

Author

Listed:
  • Thomas Cortade

    (MRE - Montpellier Recherche en Economie - UM - Université de Montpellier)

  • Edmond Baranes

    (CREDEN - Centre de Recherche en Economie et Droit de l'ENergie - UM1 - Université Montpellier 1)

Abstract

This paper focuses on the vertical relationship between Internet Backbone Providers (IBPs) and Internet Service Providers (ISPs), and the difficulties created in that relationship by the IBPs'strong market power. We propose a two-stage sequential game to analyze competition between horizontally differentiated ISPs in the service market and IBP Cournot competition in the backbone market. When the backbone market is unregulated, we find that consolidation among ISPs may reduce access charges by leveraging positive externalities in installed bases.
(This abstract was borrowed from another version of this item.)

Suggested Citation

  • Thomas Cortade & Edmond Baranes, 2007. "Fusions horizontales sur le marché de l'Internet," Post-Print hal-01815031, HAL.
    • Handle: RePEc:hal:journl:hal-01815031
    DOI: 10.3406/ecop.2007.7642
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    References listed on IDEAS

    as
    1. Dessein, Wouter, 2003. "Network Competition in Nonlinear Pricing," RAND Journal of Economics, The RAND Corporation, vol. 34(4), pages 593-611, Winter.
    2. Baranes, E. & Gassot, Y., 2002. "Will broadband lead to a more competitive access market ?," Cahiers du CREDEN (CREDEN Working Papers) 02.07.30, CREDEN (Centre de Recherche en Economie et Droit de l'Energie), Faculty of Economics, University of Montpellier 1.
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