Would David be More Likely to Speak to Angela under National Roaming?

Basso Adriano and Crocioni Pietro ()
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Basso Adriano: Competition and Markets Authority, London, UK
Crocioni Pietro: Competition and Markets Authority, London, UK

Review of Network Economics, 2016, vol. 15, issue 2, 63-90

Abstract: The UK Government has proposed national roaming to ensure that consumers may use rival networks in areas where their own operator does not offer (network) coverage (these are known as partial not-spots). The proposed policy aimed at increasing the likelihood of callers being able to make and receive calls. While this may raise a number of concerns in terms of possible harm to consumers, this article only focuses on one question: whether national roaming, rather than making it more likely that consumers in partial not-spots may be able make and receive calls, may achieve the very opposite outcome. This is because, under national roaming, and depending on the level of the charge, operators may have the incentive to withdraw their network coverage and roam instead. We also analyse the implications for dual coverage areas.

Keywords: coverage; investment incentives; mobile industry; national roaming (search for similar items in EconPapers)
Date: 2016
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DOI: 10.1515/rne-2016-0016

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