Ex ante regulation and co-investment in the transition to next generation access

  • Authors:
  • Marc Bourreau;Carlo Cambini;Steffen Hoernig

  • Affiliations:
  • Telecom ParisTech, Department of Economics and Social Sciences, 46 rue Barrault, 75013 Paris, France;Politecnico di Torino, DISPEA, Corso Duca degli Abruzzi, 24, 10129 Torino, Italy;Nova School of Business and Economics, Campus de Campolide, 1099-032 Lisbon, Portugal and CEPR, UK

  • Venue:
  • Telecommunications Policy
  • Year:
  • 2012

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Abstract

Investments in next generation access networks (NGANs) ask for a new set of regulatory remedies. This paper contributes to this debate by focusing on three issues: the migration from the legacy copper network to the NGA infrastructure, and how wholesale pricing regulation might affect this process; the introduction of differentiated wholesale remedies according to geographical differences in NGAN deployment; the impact of co-investment decisions on market outcomes and their interplay with access regulation. Using the recent economic literature, arguments and possible guidelines are proposed, which might be useful to regulators and policy makers.