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Government involvement and learning in business model experimentation: NGA deployment in rural areas in the Netherlands

Author

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  • Lelie, T.
  • Sadowski, B.
  • Brennenreadts, R.
  • Smits, J.

Abstract

The paper analyses the effects of governmental policy in the Netherlands on the formation and development of rural broadband projects. Rural internet access speeds are increasingly falling behind. As a result, the vast majority of Dutch urban households use internet connections faster than those available to their counterparts in remote areas. As demand increases rapidly over time, the experienced deficit will grow rapidly without improvements to rural net-works. This issue has received attention at different levels of government in the Netherlands, where regional and municipal actors have stimulated new broadband network deployment. In this context, the article explores the role of the governmental policy in the rise of these projects and in stimulating new business model development. The paper studies 191 projects in the Netherlands and uses publicly available reports on government spending. The study than focuses on 28 projects in greater detail by using quantitate information gathered via a survey. The analysis shows that a large number of small projects use differing network construction methods and a variety of business models, allowing for some experimentation. In addition, a combination of financial support and actor network build-ing is found to provide advantages to these projects.

Suggested Citation

  • Lelie, T. & Sadowski, B. & Brennenreadts, R. & Smits, J., 2017. "Government involvement and learning in business model experimentation: NGA deployment in rural areas in the Netherlands," 28th European Regional ITS Conference, Passau 2017 169479, International Telecommunications Society (ITS).
    • Handle: RePEc:zbw:itse17:169479
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    References listed on IDEAS

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    1. Leanne Townsend & Arjuna Sathiaseelan & Gorry Fairhurst & Claire Wallace, 2013. "Enhanced broadband access as a solution to the social and economic problems of the rural digital divide," Local Economy, London South Bank University, vol. 28(6), pages 580-595, September.
    2. Rendon Schneir, Juan & Xiong, Yupeng, 2016. "A cost study of fixed broadband access networks for rural areas," Telecommunications Policy, Elsevier, vol. 40(8), pages 755-773.
    3. Geels, Frank W. & Schot, Johan, 2007. "Typology of sociotechnical transition pathways," Research Policy, Elsevier, vol. 36(3), pages 399-417, April.
    4. Huijben, J.C.C.M. & Verbong, G.P.J., 2013. "Breakthrough without subsidies? PV business model experiments in the Netherlands," Energy Policy, Elsevier, vol. 56(C), pages 362-370.
    5. Geels, Frank W., 2002. "Technological transitions as evolutionary reconfiguration processes: a multi-level perspective and a case-study," Research Policy, Elsevier, vol. 31(8-9), pages 1257-1274, December.
    6. Markard, Jochen & Raven, Rob & Truffer, Bernhard, 2012. "Sustainability transitions: An emerging field of research and its prospects," Research Policy, Elsevier, vol. 41(6), pages 955-967.
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    Cited by:

    1. Gerli, Paolo & Whalley, Jason, 2018. "Fibre to the countryside: A comparison of public and community initiatives in the UK," 29th European Regional ITS Conference, Trento 2018 184941, International Telecommunications Society (ITS).

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