López, A.L.

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Telecom in Spain Not in Line With E.U. Average

López, A.L.

 

Spain needs to stimulate competition in the telecommunications sector to bring rates and user levels in line with the European average. It must also introduce appropriate regulation to promote the expansion of next-generation networks. A new report by IESE’s Ángel Luis Lopez and Sandra Jódar Rosell contributes to the debate over which measures would be most effective.

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The Uphill Battle for the Broadband Market

López, A.L.; Vives Torrents, Xavier

 

In just two years, the number of broadband lines belonging to DSL operators offering wholly owned services had climbed to 31.83 by the end of 2006. In 2004, those same lines accounted for a mere 6.91 percent, while 41.62 percent of the broadband subscriptions registered by Telefónica's competitors pertained to DSL operators reselling their broadband services or accessing their network indirectly. In their paper "Inversión en banda ancha: competencia en infraestructuras y competencia en servicios" ("Investing in Broadband: Competition in Infrastructures and Services"), IESE Prof. Xavier Vives and researcher Ángel L. López consider the factors that made this shift possible. They assess the level of infrastructure competition in the Spanish broadband arena, and question whether a complete deregulation of the telecommunications sector is in order.

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