The potential for a pan-European telecommunications market has long been discussed. In their article in this quarter’s issue, Peter Alexiadis and Tony Shortall argue that the scale benefits from a single telecoms market come not from networks, but services; this means that what they see as a failure in the mobile roaming market in Europe must be addressed. Their solution is mandated capacity exchange trading – an interesting if radical idea.
By contrast, Ben Wreschner from Vodafone argues in his piece, ‘Lessons from a merger’, that European regulators should take note of the consumer benefits that accrue when, with sensible obligations, networks are allowed to merge. He views scale as a necessary precursor to unlocking investment in next generation networks.
Submarine cables have been in the news a great deal of late, with accusations of international sabotage and calls for more rigorous protection. In her interview, Professor Sandra Maximiano – an expert on the subject – makes plain that most cable damage is accidental and that new ‘smart’ cables are providing much better resilience than hitherto. She argues that international coordination must take account of social and developmental issues and not be driven by economic factors alone.
This is a point frequently made by smaller nations, concerned with being sidelined in a world of increasingly powerful players. Regulation is seen as a necessary corrective in ensuring fairness and balance, but in small nations resources are thin and thinly spread. For the last year or so Sean Kennedy and his team at DT Economics, in collaboaration with the IIC, have been engaged in a pro bono project with small nation regulators to create a ‘library of knowledge’. They discuss some of the findings in their article, ‘Navigating complexity with scarce resources: regulatory effectiveness in small nations’. It offers a useful insight into the many challenges such jurisdictions face and the opportunities created when regulators share their experiences.
Finally a reminder that the IIC’s Communications Policy and Regulation Week begins on 20 October, only a few weeks away. We’re very excited that it’s taking place, for the first time, in Bogotá. It’s sure to be a lively and informative week and we already have a superb list of speakers. I look forward to seeing you there.
and then