Competitive effects of cable networks on FTTx deployment in Europe
Telecommunications Policy, 2020, vol. 44, issue 10
In this paper, we analyse the effect of cable networks on fibre to the x (FTTx) network expansions by drawing on data from a sample of 28 European countries spanning the period 2011 to 2017. We find that there is a negative relationship between cable network coverage and FTTx network expansion. This restraining effect associated with cable networks contradicts the current regulatory regime, which is primarily designed to enable effective competition against the incumbent on copper- and fibre-based infrastructure. Therefore, our analysis is a crucial first step to design a sound regulatory and competitive framework to achieve the ambitious broadband targets set by the European Commission and national governments. Most importantly, we conclude that public policy makers should assess broadband markets distinctly for cable and non-cable regions to reflect the competition dynamics between cable operators and operators investing in FTTx networks.
Keywords: Telecommunications; Cable networks; Inter-platform competition; FTTx; Regulation (search for similar items in EconPapers)
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