In 2003, the dominant former monopolist, which was subject to a stringent price regulation, and the new entrant in the local calls market of Korea made an agreement in which the entrant was to raise the price while the incumbent was to hand over market shares or transfer money using...

This paper surveys the recent literature on competition between mobile networks in the presence of call externalities and network effects. It argues that the regulation of mobile termination rates based on fully allocated costs, or “long-run incremental cost plus”, exacerbates the network...

Suppose that a strong and a weak operator compete in a telecommunications market. To terminate a call operators need access to the competitor's network if the call is off-net. Operators set two-part tariffs and price-discriminate according to termination of a call. Suppose as a benchmark that...