Choi, Jay Pil, Jeon, Doh-Shin and Kim, Byung-Cheol (2012) Internet Interconnection and Network Neutrality. TSE Working Paper, n. 12-355, Toulouse

Warning
There is a more recent version of this item available.
[thumbnail of wp_tse_355.pdf]
Preview
Text
Download (732kB) | Preview

Abstract

We analyze competition between interconnected networks when content is heterogeneous in
its sensitivity to delivery quality. In a two-sided market framework, we characterize the
equilibrium in a neutral network constrained to offer the same quality and assess the impact
of such a constraint vis-à-vis a non-neutral network where Internet service providers (ISPs)
are allowed to engage in second degree price discrimination with a menu of quality-price pairs.
We find that the merit of net neutrality regulation depends crucially on content providers'
business models. More generally, our analysis can be considered as a contribution to the
literature on second-degree price discrimination in two-sided platform markets.

Item Type: Monograph (Working Paper)
Language: English
Date: November 2012
Place of Publication: Toulouse
JEL Classification: D4 - Market Structure and Pricing
L1 - Market Structure, Firm Strategy, and Market Performance
L5 - Regulation and Industrial Policy
Subjects: B- ECONOMIE ET FINANCE
Divisions: TSE-R (Toulouse)
Institution: Université Toulouse 1 Capitole
Site: UT1
Date Deposited: 09 Jul 2014 17:31
Last Modified: 02 Apr 2021 15:47
OAI Identifier: oai:tse-fr.eu:26550
URI: https://publications.ut-capitole.fr/id/eprint/15442

Available Versions of this Item

View Item

Downloads

Downloads per month over past year