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An investment view of mobile telecommunications in the European Union

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  • Gruber, Harald

Abstract

The paper illustrates in some detail the key variables that are affecting the mobile telecommunications sector in the European Union. The sector is expanding rapidly in Europe owing to a favourable technological and regulatory environment. The increasingly competitive market structure delivers lower prices and better service quality to consumers. However, for firms the sector risk is increasing. Financial investors, used to high profits in the industry, may react to these trends by potentially reducing the resources to the sector. From the point of view of social welfare, it may be well worth the increased risk given the huge benefits consumers receive as a result of competition. There may be public interest in sustaining the growth of this industry and by taking actions that encourage agents to the long-term view.

Suggested Citation

  • Gruber, Harald, 1999. "An investment view of mobile telecommunications in the European Union," Telecommunications Policy, Elsevier, vol. 23(7-8), pages 521-538, August.
    • Handle: RePEc:eee:telpol:v:23:y:1999:i:7-8:p:521-538
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    Citations

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    Cited by:

    1. Atiyas, Izak & Dogan, PInar, 0. "When good intentions are not enough: Sequential entry and competition in the Turkish mobile industry," Telecommunications Policy, Elsevier, vol. 31(8-9), pages 502-523, September.
    2. Gruber, Harald & Verboven, Frank, 2001. "The evolution of markets under entry and standards regulation -- the case of global mobile telecommunications," International Journal of Industrial Organization, Elsevier, vol. 19(7), pages 1189-1212, July.
    3. Harald Gruber, 2002. "Endogenous Sunk Costs in the Market for Mobile Telecommunications - The Role of Licence Fees," The Economic and Social Review, Economic and Social Studies, vol. 33(1), pages 55-64.
    4. Torsten Gerpott & Nejc Jakopin, 2008. "Markteintrittstiming von Telekommunikationsdiensteanbietern," Metrika: International Journal for Theoretical and Applied Statistics, Springer, vol. 19(1), pages 7-37, May.
    5. John Jairo García Rendón & Diego F. Linares, 2018. "Price wars in a highly concentrated industry: Mobile communication voice services," Documentos de Trabajo de Valor Público 16449, Universidad EAFIT.
    6. Joshua S. Gans & Stephen P. King & Julian Wright, 2005. "Wireless Communications," Monash Economics Working Papers archive-45, Monash University, Department of Economics.
    7. Gruber, Harald, 2001. "Competition and innovation: The diffusion of mobile telecommunications in Central and Eastern Europe," Information Economics and Policy, Elsevier, vol. 13(1), pages 19-34, March.
    8. Bonani, Michela, 2023. "Essays on innovation, cooperation, and competition under standardization," Other publications TiSEM 1c87d7fc-2c24-430a-9d4e-1, Tilburg University, School of Economics and Management.
    9. Jakopin, Nejc M. & Klein, Andreas, 2012. "First-mover and incumbency advantages in mobile telecommunications," Journal of Business Research, Elsevier, vol. 65(3), pages 362-370.

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