Competition in a Pure World of Internet Telephony

From the angle of competition policy, Voice over IP looks like a panacea. It not only brings better service, but it also increases competitive pressure on former telecommunications monopolists. This paper points to the largely overlooked downside. In a pure world of Internet telephony, there would be no charge for individual calls, nor for telephony, as distinct from other services running over the uniform network. Specifically, establishing property rights for either of these would be costly, whereas these property rights were automatic and free of charge in switched telephony. Giving voice over IP providers classic telephone numbers would enhance systems competition with switched telephony. But this would make it more difficult for clients to swap providers. The anti-competitive caller pays principle would extend to IP telephony.property right, non-linear pricing, pure bundling, club good, cross-subsidisation, packet switched telephony

Private Leased Telecommunication Lines: Threats to Continued International Availabliltiy

This article examines both actual and proposed actions by Japanese and European telecommunications authorities, known as Ministries of Post, Telephone, and Telegraph (PTTs), to restrict private leased line availability, and then explores the possibility that these actions presage the total elimination of private leased lines. It concludes that unless the United States government adopts a unified and reasonable policy opposing the escalation of regulations and restrictions, their deleterious effects will become more severe

Comparative Deregulation of Far Eastern Telecommunications Markets: Economic Incentives and International Competitive Strategies

The deregulation of telecommunications has taken a major step with the WTO agreements in February of this year. Namely, each of the major Far Eastern countries has agreed to open their market in some form of planned entry. These markets will allow for the introduction of competition of local and international services now currently restricted to the local PTT as well as allowing the entry of new services in what are generally closed markets. This paper analyzes the implications of changes in several key Far Eastern countries and discusses how this will impact the U.S. economy and the overall policy implications that this will focus on