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The integrated sphere of coopetition of digital services and the regulatory approach of diagonal equity

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  • Prasad, Rohit
  • Sridhar, V

Abstract

Telecommunications Service providers (TSPs) and Content and Application Providers (CAPs) that operate over the Internet are traditionally regarded as complementary. However, the growth of 5G technologies has led to the emergence of an integrated sphere of competition and cooperation between TSPs and CAPs.The new elements of this competitive landscape stem from the hybridization of network provisioning, the growth of substitute services, and the emergence of end to end value networks comprising of devices, connectivity solutions, and a variety of content and application services. Simultaneously, the regulatory drivers that occasioned a differential treatment of TSP in their role as providers of essential utility communication services are converging with the features observed with respect to certain CAPs. These dynamics warrant the application of a new regulatory framework in the form of Diagonal Equity, that recognizes the need for similar regulatory principles to be applied to TSPs and CAPs, while acknowledging that with respect to certain issues a differential treatment will continue to be required.

Suggested Citation

  • Prasad, Rohit & Sridhar, V, 2024. "The integrated sphere of coopetition of digital services and the regulatory approach of diagonal equity," Telecommunications Policy, Elsevier, vol. 48(3).
    • Handle: RePEc:eee:telpol:v:48:y:2024:i:3:s0308596123002112
    DOI: 10.1016/j.telpol.2023.102700
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    References listed on IDEAS

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    4. Musgrave, Richard A., 1990. "Horizontal Equity, Once More," National Tax Journal, National Tax Association;National Tax Journal, vol. 43(2), pages 113-122, June.
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