The paper illustrates in some detail the key variables that are affecting the mobile telecommunications sector in the European Union. The sector is expanding rapidly in Europe owing to a favourable technological and regulatory environment. The increasingly competitive market structure delivers...

The paper discusses the impact of scarcity of frequency spectrum on the performance of the mobile telecommunications industry. An oligopoly model with endogenous sunk costs illustrates the trade off between ex ante extraction of oligopoly rents and market entry of firms. The determination of the...