This paper is for telecoms operators and regulators who are trying to understand how business models for telecommunications have evolved and what this means for them today. It draws on the author’s forty years of experience in Australia and applies it to the specific case of the Cook Islands.
A close friend of mine made some very flattering remarks about this paper:
“It’s the first time I’ve read an article with such a holistic and succinct overview of the evolution of telecommunications and the impact of global digitisation on telecoms operating companies providing transport and delivery infrastructures”. Richard Wiatr is a former senior executive and telecoms engineer who has spent 40 years in the industry.
Some operators are currently looking to regulators to fix the loss of revenues from the move into the digital era. This paper puts the issue into perspective and suggests what they should be doing.
In both Australia and the Cook Islands the impact of infrastructure competition on mandated geographically uniform pricing is being (or proposed to be) addressed with a levy. The different approaches to measuring costs and setting the levy are contrasted.
The paper proposes that a universal service levy has to be coupled with consistent access pricing to have efficient competition consistent with universal service policy. Interconnection between networks is free in the Cook Islands but the pricing of resold wholesale services should be consistent with the aims of the levy; to ensure universal service and efficient competition.
This the preprint http://deridder.com.au/wp-content/uploads/2021/09/Universal-service-and-competition-.pdf
The final paper appears in the AJTDE Volume 9, Issue 3 at https://doi.org/10.18080/jtde.v9n3.437
Following-up on my previous post “Pricing for Abundance”, I prepared a short video for a “poster session” at the Pacific Telecommunications Council conference in January 2021. This is the biggest annual gathering of the submarine cable industry in the world and it is normally held in Hawaii. This year it is a virtual on-line conference.
The “poster” advertising my presentation and the video are below.
I have had the good fortune to work with Bob James (we developed the TransAct NBN Mark I business case) and Robin Eckermann (the Australian father of FTTN – 10 years ahead of the Commonwealth).
We have developed the idea attached; which could be a game changer for rural and remote customers. The concept is novel but not rocket science. Aceptance and execution will be tricky.
New Zealand is moving towards “utility style” regulation for ultra-fast broadband (UFB) copper and fibre networks. Its main focus is on the application of price–quality regulation based on the ‘building blocks’ model (BBM).
The BBM is just one step towards the utility style regulation. New Zealand has the opportunity to also adopt utility style wholesale pricing which addresses its concerns about affordable anchor products while also encouraging adoption and use of broadband networks.
For more, see Economuse 2016-08-29
All submissions at http://www.mbie.govt.nz/info-services/sectors-industries/technology-communications/communications/regulating-the-telecommunications-sector/review-of-the-telecommunications-act-2001/submissions-received-options-paper