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Impact of mobile operators consolidation on unitary price

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  • Aimene, Louise
  • Jeanjean, Francois
  • Liang, Julienne

Abstract

We evaluate the impact of mobile operators merger on unitary price of data and voice by using country-level observations on data retail revenue, cellular data traffic, voice retail revenue, outgoing voice minutes. Using difference-in-differences estimation strategy, we estimate the effect of 4-to-3 operators merger by comparing the difference between the no-merging countries and the merging countries before and after the introduction of 4-to-3 operators merger. In accordance with the theoretical prediction provided in this paper, we find that mergers from four to three mobile operators tend to decrease data unitary price and increase voice unitary price

Suggested Citation

  • Aimene, Louise & Jeanjean, Francois & Liang, Julienne, 2019. "Impact of mobile operators consolidation on unitary price," 30th European Regional ITS Conference, Helsinki 2019 205161, International Telecommunications Society (ITS).
    • Handle: RePEc:zbw:itse19:205161
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    References listed on IDEAS

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    1. Houngbonon, Georges Vivien & Jeanjean, François, 2016. "What level of competition intensity maximises investment in the wireless industry?," Telecommunications Policy, Elsevier, vol. 40(8), pages 774-790.
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    7. Georges Vivien Houngbonon & François Jeanjean, 2016. "What level of competition intensity maximises investment in the wireless industry?," Post-Print halshs-01510421, HAL.
    8. Motta, Massimo & Tarantino, Emanuele, 2021. "The effect of horizontal mergers, when firms compete in prices and investments," International Journal of Industrial Organization, Elsevier, vol. 78(C).
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    Cited by:

    1. Andreea Cosnita‐Langlais & Alexander Rasch, 2023. "Horizontal mergers, cost savings, and network effects," Bulletin of Economic Research, Wiley Blackwell, vol. 75(1), pages 65-82, January.

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