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Exploring additional determinants of fixed broadband adoption: policy implications for narrowing the broadband demand gap

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  • Davide Quaglione
  • Massimiliano Agovino
  • Claudio Di Berardino
  • Alessandro Sarra

Abstract

Using data from the survey ‘Aspects of daily life’ conducted on Italian individuals in 2014 by the Italian Institute of Statistics, we propose new evidence on the factors that encourage the adoption of fixed broadband, a topic relevant for the reduction of the so-called broadband demand gap. We estimate a probit model through the two-step Heckman procedure for the selection bias, and find that, besides the already studied socio-demographic determinants, Internet-capable devices other than personal computers, as well as recreational (essentially video contents) and cloud-related uses of the Internet, have a relevant positive role. Policies aimed at fostering the diffusion of smart homes and more generally of the Internet of things at the residential level might be very effective in favouring fixed broadband adoption, provided that the network be neutral, not discriminating between data based on their contents and/or the destination device, and that possible foreclosing behaviours in the access to (premium) contents be properly and promptly addressed.

Suggested Citation

  • Davide Quaglione & Massimiliano Agovino & Claudio Di Berardino & Alessandro Sarra, 2018. "Exploring additional determinants of fixed broadband adoption: policy implications for narrowing the broadband demand gap," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 27(4), pages 307-327, May.
    • Handle: RePEc:taf:ecinnt:v:27:y:2018:i:4:p:307-327
    DOI: 10.1080/10438599.2017.1350358
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    Cited by:

    1. Liu, Chun & Wang, Lian, 2021. "Who is left behind? Exploring the characteristics of China's broadband non-adopting families," Telecommunications Policy, Elsevier, vol. 45(9).
    2. Katz, Raul & Jung, Juan & Callorda, Fernando, 2024. "The role of Video on Demand in stimulating broadband adoption," Telecommunications Policy, Elsevier, vol. 48(4).
    3. Martínez-Domínguez, Marlen & Mora-Rivera, Jorge, 2020. "Internet adoption and usage patterns in rural Mexico," Technology in Society, Elsevier, vol. 60(C).
    4. Doyar, Bayram Veli & Rzali, Shamsi & Dikkaya, Mehmet, 2023. "Development of the ICT sector and the determinants of Internet use in the Southern Caucasus," Telecommunications Policy, Elsevier, vol. 47(1).
    5. Quaglione, Davide & Matteucci, Nicola & Furia, Donatella & Marra, Alessandro & Pozzi, Cesare, 2020. "Are mobile and fixed broadband substitutes or complements? New empirical evidence from Italy and implications for the digital divide policies," Socio-Economic Planning Sciences, Elsevier, vol. 71(C).
    6. Phansatarn, Thunwar & Srinuan, Chalita, 2024. "Analysis of Thailand's fixed broadband internet services demand: A merger screening of AIS and 3BB," Telecommunications Policy, Elsevier, vol. 48(2).
    7. Quaglione, Davide & Crociata, Alessandro & Agovino, Massimiliano & Iaia, Lea, 2020. "Cultural capital and online purchase of tourism services," Annals of Tourism Research, Elsevier, vol. 80(C).
    8. Sahebali, M.W.W. & Sadowski, Bert M. & Nomaler, O. & Brennenraedts, R., 2021. "Rolling out of fibre optic networks in intermediate versus urban areas: An exploratory spatial analysis in the Netherlands," Telecommunications Policy, Elsevier, vol. 45(5).

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