53,842 research outputs found

    Subscriber churn in the Australian ISP market

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    Rapid growth in Internet use, combined with easy market entry by Internet service providers (ISPs), has resulted in a highly competitive supply of Internet services. Australian ISPs range in size from a few large national operators to niche ISPs focused on specialised service. With many ISPs currently not profitable, subscriber retention is an important aspect of survival. This study develops a model which relates the probability of subscriber churn to various service attributes and subscriber characteristics. Estimation results show that churn probability is positively associated with monthly ISP expenditure, but inversely related to household income. Pricing also matters with subscribers preferring ISPs which offer flat-rate pricing arrangements.

    Adam Smith goes mobile : managing services beyond 3G with the digital marketplace

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    The next generation of mobile communications systems is expected to offer new business opportunities to existing and new market players. A market-based middleware framework has been recently proposed whereby service providers, independent of network operators, are able to tender online service contracts to network operators in a dynamic and competitive manner. This facilitates a seamless service provision over disparate networks in a consumer-centric manner. Service providers select network bearers according to the network operators' ability to meet the QoS target, which in turn is influenced, among other things, by user's price and quality requirements. The benefits of this proposal are the complementarity of numerous network resources, the decoupling of services and networks in a self-organising distributed environment, and increased competition to consumers’ advantag

    Broadband Openness Rules Are Fully Justified by Economic Research

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    This paper responds to arguments made in filings in the FCC’s broadband openness proceeding (GN Dkt. 09-191) and incorporates data made available since my January 14th filing in that proceeding. Newly available data confirm that there is limited competition in the broadband access marketplace. Contrary to some others’ arguments, wireless broadband access services are unlikely to act as effective economic substitutes for wireline broadband access services (whether offered by telephone companies or cable operators) and instead are likely to act as a complement. Nor will competition in the Internet backbone marketplace constrain broadband providers’ behavior in providing “last mile” broadband access services. The last mile, concentrated market structure, combined with high switching costs, provides last mile broadband network providers with the ability to engage in practices that will reduce social welfare in the absence of open broadband rules. Furthermore, the effect of open broadband rules on broadband provider revenues is likely to be small and can be either positive or negative. Unfortunately, various filings have misstated or mischaracterized the results on the economics of two-sided markets. Contrary to what some have argued, allowing broadband providers to charge third party content providers will not necessarily result in lower prices being charged to residential Internet subscribers. This is true under a robust set of assumptions. Despite some parties’ mischaracterization of the economic literature, price discrimination by broadband providers against third party applications and content providers will reduce societal welfare for numerous reasons. This reduction in societal welfare is especially acute when price discrimination is taken to the extreme of exclusive dealing between broadband providers and content providers. Antitrust and consumer protection laws are insufficient to protect societal welfare in the absence of open broadband rules.

    Access and metro network convergence for flexible end-to-end network design

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    This paper reports on the architectural, protocol, physical layer, and integrated testbed demonstrations carried out by the DISCUS FP7 consortium in the area of access - metro network convergence. Our architecture modeling results show the vast potential for cost and power savings that node consolidation can bring. The architecture, however, also recognizes the limits of long-reach transmission for low-latency 5G services and proposes ways to address such shortcomings in future projects. The testbed results, which have been conducted end-to-end, across access - metro and core, and have targeted all the layers of the network from the application down to the physical layer, show the practical feasibility of the concepts proposed in the project

    "Net Neutrality," Non-Discrimination and Digital Distribution of Content Through the Internet

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    The vast majority of US residential consumers face a monopoly or duopoly in broadband Internet access. Up to now, the Internet was characterized by a regime of "net neutrality" where there was no discrimination in the price of a transmitted information packet based on the identities of either the transmitter or the receiver or based on the application or type of content that it contained. The providers of DSL or cable modem access in the United States, taking advantage of a recent regulatory change that effectively abolished net neutrality and non-discrimination protections, and possessing significant market power, have recently discussed implementing a variety of discriminatory pricing schemes. This paper discusses and evaluates the implication of a number of these schemes on prices, profits of the network access providers and those of the complementary applications and content providers, as well as the impact on consumers. We also discuss an assortment of anti-competitive effects of such price discrimination, and evaluate the possibility of imposition of net neutrality by law.Technology and Industry
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