Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/238031 
Year of Publication: 
2021
Series/Report no.: 
23rd Biennial Conference of the International Telecommunications Society (ITS): "Digital societies and industrial transformations: Policies, markets, and technologies in a post-Covid world", Online Conference / Gothenburg, Sweden, 21st-23rd June, 2021
Publisher: 
International Telecommunications Society (ITS), Calgary
Abstract: 
In this paper, we formulate and estimate a structural model of demand to analyse the equilibrium effect of the RAN sharing by using cross-country panel data in 28 EU countries in years 2010-2020. Based on model estimates, our simulation analysis in Spain firstly provides a quantitative assessment of the impact of RAN sharing on mobile operators. We find that prices decrease for mobile operators involved in RAN sharing agreement due to cost reductions. In a competitive environment where operators compete, MNOs not involved in RAN sharing also lower their prices in a Nash equilibrium. We further evaluate the consumer welfare consequence of the presence of RAN sharing, and find that the RAN sharing enhanced the consumer surplus by generating lower prices for all mobile operators.
Subjects: 
Mobile telecommunications
network sharing
competition
consumer welfare
JEL: 
L40
L96
L11
Document Type: 
Conference Paper

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