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Article
Publication date: 11 May 2010

Costas Troulos, Vasilis Merekoulias and Vasilis Maglaris

In recent years, many municipalities have made investments in fiber to the home/building (FTTH/B) infrastructures to enhance the digital future of their local communities. This

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Abstract

Purpose

In recent years, many municipalities have made investments in fiber to the home/building (FTTH/B) infrastructures to enhance the digital future of their local communities. This paper aims to propose a business model for managing these municipal FTTH/B networks. The paper also seeks to form a part of the discussion on the business, social and policy implications of municipal involvement in physical broadband infrastructures.

Design/methodology/approach

The paper reviews the international experience in municipal FTTH projects and identifies the best practices. Greece is then used as a case study due to the country's strategic plans to create efficient broadband infrastructures in the periphery of the country. Finally, the municipal business model is examined on three premises: the extent of horizontal integration; the degree of vertical integration; and the appropriate form of ownership.

Findings

The passive infrastructure model applied within the model presented has strong potentials to ensure fair and open competition. The proposed business model exhibits substantial benefits for the telecommunications industry, the local communities and the managing company. It could become an effective policy tool for future regulation, broadband universal service framework, socially optimal investments and social inclusion.

Originality/value

The paper contributes to the international debates regarding the adoption of the “highway” model (“open access”) versus “vertical integration” and the suitability of public‐private partnership (PPP) as a method for developing and operating FTTH/B networks. It also contributes to the discussion about the implications of the public sector's involvement in broadband infrastructure development.

Details

info, vol. 12 no. 3
Type: Research Article
ISSN: 1463-6697

Keywords

Article
Publication date: 3 August 2021

Jianxiang Wan, Changteng Nie and Fan Zhang

As an important public infrastructure, broadband has absorbed a large amount of investment in China. However, how and to what extent these investments affect economic and social…

Abstract

Purpose

As an important public infrastructure, broadband has absorbed a large amount of investment in China. However, how and to what extent these investments affect economic and social development is largely unknown. The purpose of this paper is to analyze the impact of broadband infrastructure construction on consumption of rural households, using an exogenous policy shock introduced by the China's “Broadband Countryside” pilot project.

Design/methodology/approach

Using the tracking sample data of China Household Financial Survey in 2013 and 2015, this study estimates the effect of broadband construction on rural household consumption and draws causality between them relying on a quasi-natural experiment based on an exogenous policy shock.

Findings

The difference-in-difference estimates show that broadband construction has significantly increased rural household consumption by 16.69%. This positive promotion effect is mainly achieved through mobile phone access to the Internet, while penetration of computer crowds out rural household consumption. Further research find that broadband construction has increased rural household consumption related to daily life and high-quality household consumption, but not statistically significant for the latter, and it has not helped to promote the consumption upgrading of rural households.

Originality/value

This study contributes to the understanding of the positive status of broadband infrastructure in economic and social development by analyzing the impact of broadband infrastructure construction on rural household consumption. This study expands the content of consumption to rural households, especially high-quality consumption and consumption upgrading in rural areas, which provides the possibility to further tap the consumption potential of rural market. The study is the first to explore how broadband infrastructure construction affects consumption of rural households using a quasi-natural experiment.

Details

China Agricultural Economic Review, vol. 13 no. 4
Type: Research Article
ISSN: 1756-137X

Keywords

Article
Publication date: 20 June 2012

Enrico Calandro and Mpho Moyo

This paper seeks to identify policy and regulatory bottlenecks that need to be overcome in order to stimulate private sector investment in backbone networks in selected African

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Abstract

Purpose

This paper seeks to identify policy and regulatory bottlenecks that need to be overcome in order to stimulate private sector investment in backbone networks in selected African countries (Côte d'Ivoire, Ethiopia, Kenya, South Africa and Uganda).

Design/methodology/approach

It does so by exploring policy and regulatory frameworks and market structures that influence investment decisions on backbone infrastructure roll‐out; it investigates models and strategies adopted by the public sector to finance national backbone infrastructure; and it provides recommendations on how to stimulate private investment in backbone roll‐out by creating an enabling policy and regulatory environment.

Findings

Research findings show that the telecommunications sector in the selected African countries has witnessed the return of state‐led investment in the roll‐out of fibre backbones. The rationale for state‐led intervention has often been cited as market failure regarding investment in broadband backbone roll‐out. However, many of the policy and regulatory barriers to market entry remain, including protectionist legislation, which has limited private sector participation in investing in backbone.

Practical implications

The reality is that African governments are maintaining control over national backbones and, in some markets where the telecommunications infrastructure sector has been liberalised, the state‐owned operators may enter into direct competition with the private sector or may delay delivery by the private sector.

Originality/value

The value of the paper is that it provides evidence on how to improve the roll‐out and extension of national broadband backbone networks through the development of a policy and regulatory framework which facilitates private sector investment in this sector. The paper also makes recommendations to governments for the facilitation of private investment in backbone networks through the development of an enabling policy and regulatory environment.

Article
Publication date: 9 October 2009

Christoph Lattemann, Stefan Stieglitz, Sören Kupke and Anna‐Maria Schneider

Broadband access plays a major role for economic growth and for social and cultural development of urban and rural areas. A provision of broadband infrastructure and services in…

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Abstract

Purpose

Broadband access plays a major role for economic growth and for social and cultural development of urban and rural areas. A provision of broadband infrastructure and services in these areas is not attractive for private investments because of a low or even negative expected rate on return. The purpose of this paper is to identify different modes of public private partnership (PPP) funding and organizational models of collaborations among public and private partners to establish broadband infrastructures. Decision makers get insights about innovative financial and structural models to bring broadband into rural areas.

Design/methodology/approach

Organizational and financial structures of PPP projects will be analyzed by six PPP case studies from the broadband sector in Sweden, Great Britain, and France. This research adopts a data triangulation approach.

Findings

A comparative case study analysis about “broadband‐PPPs” from different countries depicts that the organizational and financial funding models differ from project to project. PPPs represent a good alternative to build a broadband infrastructure through mutual collaboration between public and private partners. The examined case studies verify that a PPP is an appropriate instrument to implement broadband infrastructures, especially in case of market failure.

Research limitations/implications

The paper is mainly based on case studies. Thus, the significance of the derived results is limited.

Practical implications

Companies in the sector of telecommunication as well as decision makers learn about different financing models to implement broadband in rural areas and to increase broadband penetration.

Originality/value

This contribution shows that there are relationships among three key factors of PPPs: environmental conditions (risk, social structures, density of population, etc.), organizational model, and funding modes. This knowledge helps researchers and decision makers to measure different scenarios to bring broadband access into rural areas.

Details

Transforming Government: People, Process and Policy, vol. 3 no. 4
Type: Research Article
ISSN: 1750-6166

Keywords

Article
Publication date: 16 March 2010

Christine Zhen‐Wei Qiang

Reviewing a dozen of fiscal stimulus packages in developed countries, this paper analyzes one common strategy that has found widespread support in these stimulus packages and its

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Abstract

Purpose

Reviewing a dozen of fiscal stimulus packages in developed countries, this paper analyzes one common strategy that has found widespread support in these stimulus packages and its relevance for developing countries: investing in broadband and next‐generation networks, as a counter‐cyclical tool to create jobs and provide the foundation for economic recovery and long‐term sustained growth.

Design/methodology/approach

The paper looks at the various impacts broadband investment is expected to have: short‐term job creation and aggregate demand effects, and long‐term productive activities in other sectors of the economy. Moreover, broadband investment is more fiscally sound than other public spending stimulus options, in the sense of coming closer to, or in some cases actually being, self‐financing.

Findings

Several factors highlight the potential of broadband infrastructure as an important area of public investment during economic downturn, an option also open to policymakers in developing countries. Spending initiatives on next‐generation telecommunications networks at a time when labor market conditions are particularly weak can help preserve jobs and head off a potential burden on social safety nets. Bringing forward longer‐term aggregate spillover effects of broadband can improve the productivity of the entire economy and is consistent with enhancing longer‐run growth and development. Public support also “crowds in” private investment when access to private financing is decreasing and more expensive.

Originality/value

This is one of the few studies with a focus on the emerging broadband network, its impact on economy and the role of the public sector in rolling out next‐generation networks, during economic downturn and in general. A detailed summary of broadband initiatives in more than a dozen developed countries is provided in the paper.

Details

info, vol. 12 no. 2
Type: Research Article
ISSN: 1463-6697

Keywords

Book part
Publication date: 30 November 2018

Lloyd Levine

Access to high-speed Internet is essential for full and consequential participation in the civic, economic, and education systems of modern life. Yet 30% of Californians continue…

Abstract

Access to high-speed Internet is essential for full and consequential participation in the civic, economic, and education systems of modern life. Yet 30% of Californians continue to lack “meaningful Internet access” at home. This digital divide is worse among already disadvantaged communities and prevents rural, lower-income, and disabled individuals from fully participating in the civic, economic, and education systems of life in 2018. This chapter establishes the magnitude of the digital divide, examines the factors that contribute to the Divide, and looks at which groups are most affected. Successful government programs that invested in utility infrastructure and adoption, such as the Rural Electrification Act, the American Reinvestment and Recovery Act and the California Advanced Services Fund, are examined to provide a foundation for broadband specific policy recommendations. The chapter sets up a framework for policy recommendations by segmenting the population based upon the concepts of material and motivational access and establishing meaningful Internet access as the goal for policy-makers. The chapter puts forth a number of specific policy recommendations to address the technological disparity and prevent it from furthering the economic and educational divides.

Details

The M in CITAMS@30
Type: Book
ISBN: 978-1-78769-669-3

Keywords

Article
Publication date: 1 November 2006

Spyros E. Polykalas and Kyriakos G. Vlachos

To examine broadband competition and broadband penetration in a set of countries that employ the same regulation framework. To define the policy and strategy required to promote

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Abstract

Purpose

To examine broadband competition and broadband penetration in a set of countries that employ the same regulation framework. To define the policy and strategy required to promote broadband in weak markets that do not employ alternative infrastructures.

Design/methodology/approach

Study penetration and competition level statistics from 2002 to 2005 in a set of countries with different infrastructures deployed, services provided as well as in their social‐economic structures but employing the same regulation framework. Measure the level of inter‐platform and intra‐platform competition as well as the availability of bitstream access versus the incumbents' shares.

Findings

The paper concludes that a mature broadband market is the one that exhibits a high penetration ratio in combination with a high competition level. Bitstream access can counterbalance the inexistence of alternative broadband infrastructures, especially in weak markets. In particular the availability of numerous bitstream access types in combination with the proper price differentiation can fuel broadband adoption in relatively weak broadband markets.

Originality/value

The paper challenges the general rule that only platform (also known as facility) based competition guarantees long‐term growth of the broadband market. Bitstream and resale access do not lag local loop unbundling and can be used in weak markets that do not employ alternative infrastructures to fuel competition in the relevant markets. Different policies and strategies must be followed, in that case, on behalf of the local NRA.

Details

info, vol. 8 no. 6
Type: Research Article
ISSN: 1463-6697

Keywords

Article
Publication date: 15 March 2011

Siddhartha Menon

The purpose of this paper is to explore the South Korean government's policy objectives for the Broadband Convergence Network (BcN).

Abstract

Purpose

The purpose of this paper is to explore the South Korean government's policy objectives for the Broadband Convergence Network (BcN).

Design/methodology/approach

This paper integrates two primary approaches. The first is documentary research and analysis of primary policy texts relating to the evolution of South Korea's Broadband Convergence Network (BcN) from 2004 to 2007. The second approach involves field interviews of key informants who are familiar with the policy agenda of the BcN in South Korea.

Findings

This paper's findings on the policy agenda of the BcN are intended to be useful for executives in the private sector, officials in government and academics in university settings who are interested in drawing insights from Korean experience to inform their own work.

Research limitations/implications

The BcN's mix of private and public sector stakeholders may have implications for incipient projects in terms of how to structure regulatory oversight for similar initiatives and how to determine the optimal level of government participation in similar broadband and new media infrastructures. This study serves as a first step for academic inquiry into the policy implications of the BcN.

Originality/value

This paper advances the existing research on broadband policy in South Korea by providing one of the only scholarly research studies to address the BcN. Even though the existing research base addresses broadband in South Korea, this is one of the few studies that specifically examines the BcN infrastructure project. As a result this paper offers a unique and distinct analysis of the policy agenda for the BcN and examines the institutional underpinnings of this particular infrastructure project which has not been adequately covered in the existing literature.

Details

info, vol. 13 no. 2
Type: Research Article
ISSN: 1463-6697

Keywords

Abstract

Details

Mastering Digital Transformation
Type: Book
ISBN: 978-1-78560-465-2

Article
Publication date: 1 August 2005

Heejin Lee, Sangjo Oh and Yongwoon Shim

The purpose of this paper is to examine the widely‐held assumption that broadband infrastructure will bring social and economic benefits.

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Abstract

Purpose

The purpose of this paper is to examine the widely‐held assumption that broadband infrastructure will bring social and economic benefits.

Design/methodology/approach

The paper examines the impacts of broadband in Korea, a country with the highest penetration rate of broadband. The current status of broadband in Korea is examined, followed by an assessment of its impact on electronic commerce, overall economic effects and new business opportunities.

Findings

There is evidence of positive impacts of broadband development in Korea. Most importantly, broadband internet not only provides a driving force for new businesses for related industries, but also forms a springboard for future infrastructure in the network economy.

Research limitations/implications

The paper focuses on positive impacts, which are largely anecdotal, and does not seek to assess negative impacts.

Originality/value

There has been little research into the socio‐economic benefits of broadband. In addition, the paper provides a snapshot of development in South Korea.

Details

info, vol. 7 no. 4
Type: Research Article
ISSN: 1463-6697

Keywords

1 – 10 of over 3000