The Diffusion of Broadband Telecommunications: The Role of Competition

23 Pages Posted: 2 Nov 2005  

Harald Gruber

European Investment Bank

Mario Denni

Italian Competition Authority; University of Rome III - Department of Economics

Date Written: September 2005

Abstract

The paper addresses the determinants of diffusion of broadband infrastructure by looking a the US Federal States. It tries to identify in particular to what extent intra- and inter-platform competition contribute to accelerating the speed of diffusion. Panel data analysis results indicate that both types of competition significantly affect the the rate of diffusion, although with different effects. Intra-platform competition seems to have a positive impact only initially on the rate of diffusion, but then dissipates. For the longer term, inter-platform competition has a much more important role in driving the rate of diffusion. The study takes account of the impact of other variables measuring competition in the telecommunications sector as well.

Keywords: Broadband, diffusion of technology, competition, US, regulation, telecommunications

JEL Classification: L51, L96

Suggested Citation

Gruber, Harald and Denni, Mario, The Diffusion of Broadband Telecommunications: The Role of Competition (September 2005). Available at SSRN: https://ssrn.com/abstract=829504 or http://dx.doi.org/10.2139/ssrn.829504

Harald Gruber (Contact Author)

European Investment Bank ( email )

Projects Directorate 100 Boulevard Adenauer
L-2950
Luxembourg
+352 43798606 (Phone)
+352 43798831 (Fax)

Mario Denni

Italian Competition Authority ( email )

Piazza G. Verdi 6/a
Roma, 00184
Italy

HOME PAGE: http://www.youngeconomists.it/Denni/home.htm

University of Rome III - Department of Economics ( email )

via Ostiense, 139
Rome, 00154
Italy

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