Competition in Fiber to the Home

Title: Competition in Fiber to the Home

Research Question: How does the deployment of fiber to the home affect competition in local access networks?

Methodology: The researchers analyzed the current state of fiber to the home (FTTH) technology and its implications for competition in local access networks. They reviewed existing networks, regulations, and technologies, and interviewed key stakeholders such as incumbent local exchange carriers (ILECs), competitive access providers, independent telephone companies, and municipalities.

Results: The study found that FTTH has the potential to significantly increase competition in local access networks by enabling service-level competition, where multiple higher-level service providers share a single network infrastructure. However, the high cost of deploying fiber and the lack of consistent regulations create barriers to widespread FTTH deployment. If current regulatory trends continue, asymmetries in the regulation of service-level competition could lead to highly monopolistic local access markets.

Implications: The researchers argue that a clear regulatory commitment to service-level competition is necessary to ensure the successful deployment of FTTH. They suggest that current regulations are either non-existent or overly detailed and technology-specific, which may not be effective in promoting competition in the long term. They recommend a more flexible and technology-neutral approach to regulation that encourages innovation and competition in the FTTH market.

Link to Article: https://arxiv.org/abs/0109082v1 Authors: arXiv ID: 0109082v1