Fixed and Mobile Broadband Deployment: An Empirical Analysis of Adoption Factors

Abstract

Broadband communications lie at the heart of the developing information society. We employ 1999-2005 OECD data to analyze the primary determinants of fixed broadband adoption. We find that local loop unbundling, ICT infrastructure, population density, and Internet content are all influence fixed broadband adoption. Platform competition is a significant driver of cable modem broadband, but not DSL adoption. Multiple standards policy, mobile application price, and population density also influence the diffusion of mobile broadband. We also find that fixed broadband is neither a complement nor a substitute for mobile broadband yet.