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Wednesday 15 June 2011
Article: From copper to fibre: an optimal regulatory policy
Anh Tuc Nguyen, Consultant, TERA Consultants, Denis Basque, Partner, TERA Consultants, Laurent Benzoni, professor of Economics at Paris II University, Laboratoire d’Economie du Droit
 

The role of fibre is very important towards connecting to ultra-fast broadband, one of the key action areas of the Digital Agenda. But, Europe is late in its fibre deployment, especially when compared to other advanced economies such as the United States or Japan. At the same time, however, there is still no standard for a European fibre strategy: public as well as private stakeholders are having very different approaches in local FTTx deployment sometimes leading to a waste in private and public funds and being mainly focused on dense areas. This article aims to propose an efficient model for fibre network deployment that can be applied to all European Member States. The model provides high-margin incentives for operators to install fibre network across the whole country, while maximising households’ fibre connection rate through an automatic migration scheme. In a period of weak growth and budget restrictions, the catch-up in ultra-fast broadband internet requires more than ever an efficient policy to maximise the deployment of FTTH at the lowest cost possible to the public. The proposed model serves as an ideal choice given this context.

Alternative operator - Budget - Connexion - Copper network - Cost - Digital agenda - Duplication - Effeciency - Essential facility - Europe - Fiber optic - France - Incentive - Incumbent operator - Infrastructure - Internet - Natural economic monopoly - Network - Price - Provider - Regulatory policy *

* In The Journal of Regulation, these keywords are done by the Editor and not by the Author.

 
 
 
 
 

 
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