This paper considers the effects of regulating termination for interconnected telecommunications networks. We develop two models, the first that involves fixed market shares and the second, based on the work of Laffont, Rey and Tirole (1998a), which allows for subscriber competition. We show...

Customer switching costs can limit the opportunities for new entry in some markets. Incumbent firms may be able to reduce these switching costs, but have no incentive to do so without regulatory intervention. For example, in telecommunications, incumbent firms can provide customers with number...

This paper examines the influence of mobile network competition on the prices of fixed-to-mobile calls. Because fixed line customers cannot, in general, distinguish the identity of a specific mobile network, these networks have market power when setting termination charges for calls from fixed...