ACCESS AND INTERCONNECTION IN NETWORK INDUSTRIES

5G attains the role of a GPT for an open set of downstream IoT applications in various network industries and within the app economy more generally. Traditionally, sector coupling has been a rather narrow concept focusing on the horizontal synergies of urban system integration in terms of transport, energy, and waste systems, or else the creation of new intermodal markets. The transition toward 5G has fundamentally changed the framing of sector coupling in network industries by underscoring the relevance of differentiating between horizontal and vertical sector coupling. Due to the fixed mobile convergence and the large open set of complementary use cases, 5G has taken on the characteristics of a generalized purpose technology (GPT) in its role as the enabler of a large variety of smart network applications. Due to this vertical relationship, characterized by pervasiveness and innovational complementarities between upstream 5G networks and downstream application sectors, vertical sector coupling between the provider of an upstream GPT and different downstream application industries has acquired particular relevance. In contrast to horizontal sector coupling among different application sectors, the driver of vertical sector coupling is that each of the heterogeneous application sectors requires a critical input from the upstream 5G network provider and combines this with its own downstream technology. Of particular relevance for vertical sector coupling are the innovational complementarities between upstream GPT and downstream application sectors. The focus on vertical sector coupling also has important policy implications. Although the evolution of 5G networks strongly depends on the entrepreneurial, market-driven activities of broadband network operators and application service providers, the future of 5G as a GPT is heavily contingent on the role of frequency management authorities and European regulatory policy with regard to data privacy and security regulations.

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The Alignment between Institutions and Technology in Network Industries

Competition and Regulation in Network Industries ◽

10.1177/178359171301400202 ◽

2013 ◽

Vol 14 (2) ◽

pp. 106-129 ◽

Cited By ~ 6

Author(s):

Nicolas Crettenand ◽

Matthias Finger

Keyword(s):

Network Industries

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Vertical Integration and Costly Demand Information in Regulated Network Industries

Review of Industrial Organization ◽

10.1007/s11151-012-9340-1 ◽

2012 ◽

Vol 40 (4) ◽

pp. 249-271 ◽

Cited By ~ 3

Author(s):

Elisabetta Iossa ◽

Francesca Stroffolini

Keyword(s):

Vertical Integration ◽

Network Industries ◽

Demand Information

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Pricing Unbundled Network Elements and the FCC's TELRIC Rule: Economic and Modeling Issues

Review of Network Economics ◽

10.2202/1446-9022.1010 ◽

2002 ◽

Vol 1 (2) ◽

Cited By ~ 7

Author(s):

Timothy J. Tardiff

Keyword(s):

Incremental Cost ◽

Fundamental Question ◽

Network Industries ◽

Operating Environment ◽

Capital Equipment ◽

Competitive Network ◽

Long Run ◽

Pricing Rules ◽

Asset Values ◽

Competitive Outcomes

This paper addresses the fundamental question of what costs and prices would look like under competitive conditions and how close the FCC's total element long-run incremental cost (TELRIC) pricing rules allow one to approximate such competitive outcomes. We consider: what types of firms would enter in competitive network industries, what effect would new entry have on the asset values and prices of incumbent firms, and what impact would competition have on (1) the types and vintages of capital equipment, (2) prices for that equipment, and (3) conditions in the operating environment? The paper concludes by highlighting alternative pricing proposals offered by contending parties and identifying the major drivers that explain what have proven to be large differences among competing proposals.

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Public policy, public utility and citizens: The impact of privatization

10.12681/ekke.12 ◽

2017 ◽

Author(s):

Μαντώ Λαμπροπούλου (Manto Lampropoulou)

Keyword(s):

Public Utility ◽

Network Industries ◽

Public Enterprises ◽

Economic Implications ◽

The Past ◽

Key Stakeholders ◽

Post War ◽

The Impact ◽

The Relationship

Over the past two decades, utilities policy in Greece has been steadily shifting towards privatization and liberalization. This shift signified a critical reconsideration of the boundaries and the dynamics of the relationship between the state and the market in network industries. Public debate usually focuses on issues of ownership of public enterprises and economic performance. On the contrary, this book places the emphasis on the socio-economic implications of utilities policy for citizens. A key issue is the impact of privatization on the relationship between government (state), public enterprises (market) and citizens (society). The study covers the period from the post-war state monopolies to the current circumstances of mixed/private ownership of public enterprises and liberalized markets. The main questions addressed in this book are the following: What is the rationale (legitimization) for government intervention in the utilities sector? What are the politics of nationalization and privatization? How different policy contexts affect the institutional, organizational and regulatory framework of the utilities sector? Who are the key-stakeholders and policy actors? What is the role of citizens? What is the (re)distribution of utilities policy costs and benefits among stakeholders?

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