IDEAS home Printed from https://ideas.repec.org/p/zbw/itse23/277989.html
   My bibliography  Save this paper

To share or not to share? The impact of mobile network sharing for consumers and operators

Author

Listed:
  • Koutroumpis, Pantelis
  • Castells, Pau
  • Bahia, Kalvin

Abstract

This paper assesses the impact of mobile network sharing in Europe during the 2000-2019 period, looking at 140 mobile operators in 29 countries. We find that - consistent with economic theory - network sharing generated significant benefits for operators and consumers, including lower prices and improved network coverage and quality. This was driven by cost reductions, higher returns on investment and increased competition. These effects materialised heterogeneously, with the impact of network sharing depending on the type of sharing, the technology cycle in which it is entered into as well as the market position and size of the operators entering the agreement. This has important implications going forward as it shows that network sharing can play a vital role in the deployment of new 5G networks and that the technological and market specificity of each type of sharing agreement can significantly affect its outcomes.

Suggested Citation

  • Koutroumpis, Pantelis & Castells, Pau & Bahia, Kalvin, 2023. "To share or not to share? The impact of mobile network sharing for consumers and operators," 32nd European Regional ITS Conference, Madrid 2023: Realising the digital decade in the European Union – Easier said than done? 277989, International Telecommunications Society (ITS).
    • Handle: RePEc:zbw:itse23:277989
    as

    Download full text from publisher

    File URL: https://www.econstor.eu/bitstream/10419/277989/1/Koutroumpis-et-al.pdf
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Christos Genakos & Tommaso Valletti & Frank Verboven, 2018. "Evaluating market consolidation in mobile communications," Economic Policy, CEPR, CESifo, Sciences Po;CES;MSH, vol. 33(93), pages 45-100.
    2. Goodman-Bacon, Andrew, 2021. "Difference-in-differences with variation in treatment timing," Journal of Econometrics, Elsevier, vol. 225(2), pages 254-277.
    3. Luca Aguzzoni & Benno Buehler & Luca Martile & Ron Kemp & Anton Schwarz, 2018. "Ex-post Analysis of Mobile Telecom Mergers: The Case of Austria and The Netherlands," De Economist, Springer, vol. 166(1), pages 63-87, March.
    4. Neumann, Karl-Heinz & Plückebaum, Thomas, 2017. "Mobile Network Sharing," 28th European Regional ITS Conference, Passau 2017 169488, International Telecommunications Society (ITS).
    5. 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).
    6. Dasgupta, Kalyan & Williams, Mark, 2017. "Network Sharing: Cooperating, Co-opting and Competing," 28th European Regional ITS Conference, Passau 2017 169456, International Telecommunications Society (ITS).
    7. Mölleryd, Bengt G. & Markendahl, Jan & Sundquist, Mårten, 2014. "Is network sharing changing the role of mobile network operators?," 25th European Regional ITS Conference, Brussels 2014 101392, International Telecommunications Society (ITS).
    8. Callaway, Brantly & Sant’Anna, Pedro H.C., 2021. "Difference-in-Differences with multiple time periods," Journal of Econometrics, Elsevier, vol. 225(2), pages 200-230.
    9. Neumann, Karl-Heinz & Plückebaum, Thomas, 2017. "Mobile Network Sharing," 14th ITS Asia-Pacific Regional Conference, Kyoto 2017: Mapping ICT into Transformation for the Next Information Society 168523, International Telecommunications Society (ITS).
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Wellmann, Nicolas, 2019. "Hello . . . Are You Still There? An Empirical Analysis How Market Structure Affects Quality of Mobile Networks," VfS Annual Conference 2019 (Leipzig): 30 Years after the Fall of the Berlin Wall - Democracy and Market Economy 203579, Verein für Socialpolitik / German Economic Association.
    2. Brito, Duarte & Vasconcelos, Helder, 2023. "Competitive effects of mergers and of spectrum divestment remedies in mobile telecommunication markets," Telecommunications Policy, Elsevier, vol. 47(10).
    3. Aimene, Louise & Jeanjean, François & Liang, Julienne, 2021. "Impact of mobile operator consolidation on unit prices," Telecommunications Policy, Elsevier, vol. 45(4).
    4. Bas Scheer & Wiljan van den Berge & Maarten Goos & Alan Manning & Anna Salomons, 2022. "Alternative Work Arrangements and Worker Outcomes: Evidence from Payrolling," CPB Discussion Paper 435, CPB Netherlands Bureau for Economic Policy Analysis.
    5. Mac Clay, Pablo & Börner, Jan & Sellare, Jorge, 2023. "Institutional and macroeconomic stability mediate the effect of auctions on renewable energy capacity," Energy Policy, Elsevier, vol. 180(C).
    6. Catalina Amuedo‐Dorantes & Francisca M. Antman, 2022. "De facto immigration enforcement, ICE raid awareness, and worker engagement," Economic Inquiry, Western Economic Association International, vol. 60(1), pages 373-391, January.
    7. Anderson, D. Mark & Liang, Yang & Sabia, Joseph J., 2022. "Mandatory Seatbelt Laws and Traffic Fatalities: A Reassessment," IZA Discussion Papers 15843, Institute of Labor Economics (IZA).
    8. Arne Henningsen & Guy Low & David Wuepper & Tobias Dalhaus & Hugo Storm & Dagim Belay & Stefan Hirsch, 2024. "Estimating Causal Effects with Observational Data: Guidelines for Agricultural and Applied Economists," IFRO Working Paper 2024/03, University of Copenhagen, Department of Food and Resource Economics.
    9. Stefan Bauernschuster & Michael Grimm & Cathy M. Hajo, 2023. "The Impact of Margaret Sanger’s Birth Control Clinics on Early 20th Century U.S. Fertility and Mortality," CESifo Working Paper Series 10421, CESifo.
    10. Fabio Bothner & Annette Elisabeth Töller & Paul Philipp Schnase, 2022. "Do Lawsuits by ENGOs Improve Environmental Quality? Results from the Field of Air Pollution Policy in Germany," Sustainability, MDPI, vol. 14(11), pages 1-18, May.
    11. DeMalach, Elad & Schlosser, Analia, 2024. "Short- and Long-Term Effects of Universal Preschool: Evidence from the Arab Population in Israel," CEPR Discussion Papers 18781, C.E.P.R. Discussion Papers.
    12. Rik Chakraborti & Gavin Roberts, 2023. "How price-gouging regulation undermined COVID-19 mitigation: county-level evidence of unintended consequences," Public Choice, Springer, vol. 196(1), pages 51-83, July.
    13. Guy Lacroix & Pierre-Carl Michaud, 2024. "Tax Incentives and Older Workers: Evidence from Canada," Cahiers de recherche / Working Papers 02, Chaire de recherche Jacques-Parizeau en politiques économiques / Jacques-Parizeau Research Chair in Economic Policy.
    14. Luo, Lianfa & Cheng, Zhiming & Ye, Qingqing & Cheng, Yanjun & Smyth, Russell & Yang, Zhiqing & Zhang, Le, 2024. "Nonmonetary awards and innovation: Evidence from winning China's Top Brand Contest," China Economic Review, Elsevier, vol. 86(C).
    15. Görg, Holger & Lehr, Jakob, 2024. "Short and medium-term effects of foreign acquisitions on manufacturing firms: Evidence from Germany," Open Access Publications from Kiel Institute for the World Economy 302104, Kiel Institute for the World Economy (IfW Kiel).
    16. Houngbonon, Georges Vivien & Ivaldi, Marc & Palikot, Emil & Strusani, Davide, 2023. "The Impact of Shared Telecom Infrastructure on Digital Connectivity and Inclusion," TSE Working Papers 23-1427, Toulouse School of Economics (TSE).
    17. Arindrajit Dube & Attila S. Lindner, 2024. "Minimum Wages in the 21st Century," NBER Working Papers 32878, National Bureau of Economic Research, Inc.
    18. Hashida, Yukiko & Dundas, Steven J., 2023. "The effects of a voluntary property buyout and acquisition program on coastal housing markets: Evidence from New York," Journal of Environmental Economics and Management, Elsevier, vol. 121(C).
    19. Shanike J. Smart & Solomon W. Polachek, 2024. "COVID-19 vaccine and risk-taking," Journal of Risk and Uncertainty, Springer, vol. 68(1), pages 25-49, February.
    20. Aggarwal, Khushboo & Barua, Rashmi & Vidal-Fernandez, Marian, 2024. "Still Waters Run Deep: Groundwater Contamination and Education Outcomes in India," Economics of Education Review, Elsevier, vol. 100(C).

    More about this item

    Keywords

    Network sharing; infrastructure sharing; mobile communications; network competition;
    All these keywords.

    JEL classification:

    • D22 - Microeconomics - - Production and Organizations - - - Firm Behavior: Empirical Analysis
    • L10 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - General
    • L20 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - General
    • L96 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Telecommunications

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:zbw:itse23:277989. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ZBW - Leibniz Information Centre for Economics (email available below). General contact details of provider: http://www.itseurope.org/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.