On the Net Neutrality Efficiency under Congestion Price Discrimination

2020 ◽  
Vol 20 (3) ◽  
pp. 833-872
Author(s):  
Sahar Fekih Romdhane ◽  
Chokri Aloui ◽  
Khaïreddine Jebsi
Keyword(s):  
Price Discrimination ◽  
Net Neutrality ◽  
Congestion Price

scholarly journals Net Neutrality, Business Models, and Internet Interconnection

2015 ◽  
Vol 7 (3) ◽  
pp. 104-141 ◽  
Author(s):  
Jay Pil Choi ◽  
Doh-Shin Jeon ◽  
Byung-Cheol Kim
Keyword(s):  
Price Discrimination ◽  
Business Models ◽  
Service Providers ◽  
Neutral Network ◽  
Net Neutrality ◽  
Internet Service Providers ◽  
Internet Service ◽  
Market Framework ◽  
Second Degree

We analyze the effect of net neutrality regulation in a two-sided market framework when content is heterogeneous in its sensitivity to delivery quality. We characterize the equilibrium in a neutral network constrained to offer the same quality vis-à-vis a nonneutral network where Internet service providers are allowed to engage in second-degree price discrimination with a menu of quality-price pairs. We find that the merit of net neutrality regulation depends crucially on content providers' business models. More generally, our analysis can be considered a contribution to the literature on second-degree price discrimination in two-sided platform markets. (JEL D42, D43, D85, L51, L86, L88)

The Internet Trap

2018 ◽  
Author(s):  
Matthew Hindman
Keyword(s):  
The Internet ◽  
Net Neutrality ◽  
The Public ◽  
Attention Economy ◽  
Digital News ◽  
The Cost ◽  
Over Time

The Internet was supposed to fragment audiences and make media monopolies impossible. Instead, behemoths like Google and Facebook now dominate the time we spend online—and grab all the profits from the attention economy. This book explains how this happened. It sheds light on the stunning rise of the digital giants and the online struggles of nearly everyone else—and reveals what small players can do to survive in a game that is rigged against them. The book shows how seemingly tiny advantages in attracting users can snowball over time. The Internet has not reduced the cost of reaching audiences—it has merely shifted who pays and how. Challenging some of the most enduring myths of digital life, the book explains why the Internet is not the postindustrial technology that has been sold to the public, how it has become mathematically impossible for grad students in a garage to beat Google, and why net neutrality alone is no guarantee of an open Internet. It also explains why the challenges for local digital news outlets and other small players are worse than they appear and demonstrates what it really takes to grow a digital audience and stay alive in today's online economy. The book shows why, even on the Internet, there is still no such thing as a free audience.

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