The Finnish telecommunications market: Advantage of local access incumbency

Pm Nattermann and Dd Murphy

Telecommunications Policy, 1998, vol. 22, issue 9, 757-773

Abstract: The introduction of long distance and local competition in the sophisticated Finnish market in 1994 has resulted in unparalleled growth of the Finnet group of companies, which is the incumbent in local markets and the entrant in the long distance market. The former long distance monopolist, Telecom Finland, has gained little market share in local markets. Finnet's success was due to its hold on the local access bottleneck, the initial lack of number portability when switching carriers and its right to refuse resale of its access lines to Telecom Finland (both until June 1997). The Finnish case illustrates the importance of ownership of the local loop, even in the face of numerous independent local-only operators.

Date: 1998
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