Standard setting in international telecommunications

A brief overview of the historical development of the telephone is given, emphasizing the importance of timely standards for technique, services and operation. The introduction of new technology and changing national policies in the provision of telecommunication services call even more for standardization at both the national and international level. Compatibility is a crucial factor in telecommunications and should be achieved by appropriate design and not by adaptation of installed equipment. Finally, the authors describe the newly developed CCITT policy to reconcile the necessity of continuity in standard telecommunication services and innovation due to the inherent potential of new technology.     

Excess capacity in international telecommunications

International telecommunications facilities—both satellite and cable circuits—in the Atlantic and Pacific Ocean basins are characterized by persistent excess capacity. Although some excess is desirable to provide flexibility and protection against system failure, the problem is so great that Intelsat has 100 satellite transponders deemed surplus to international requirements. However, plans are under way for continued expansion of cable and satellite capacity. This article examines why telecommunications organizations are investing in such a seemingly wasteful manner. Three possible explanations are explored: (a) over-optimistic traffic forecasts, (b) market structure and regulatory policy, and (c) inefficient pricing of circuits.     

Social services and telecommunications: Innovation in human services delivery

This article presents an analysis of the current state of adoption of telecommunications technologies by organizations and individuals who work in human services. It examines the barriers to use of innovations and suggests the future course of acceptance for the different technologies. Radio and telephone appear to have the fewest barriers to adoption, and it is likely that as consumers become more accustomed to advanced technologies in their homes, they will be more likely to accept them in the workplace.     

Pricing of telecommunications services

Recently many scholars have argued that society's welfare would be increased if the price of local telephone service were increased, and the prices for toll and enhanced telecommunication services reduced. In this paper we argue that the telecommunications policy literature has largely ignored the impact of varying technical standards on the cost-of-service. Consequently, the marginal cost of exchange service has been overstated. We also show that most work in this area has overstated the elasticity-of-demand for toll services. Taking into account quality and the appropriate elasticities, we conclude that no clear welfare gains will be achieved by raising the price of exchange service.     

Municipal electric utilities’ role in telecommunications services

Municipal electric utilities (MEUs) are increasingly expanding into telecommunications services. Such entry is interesting in several respects. First, MEUs marry two potential pathways for the growth of telecommunications access infrastructure and services: public ownership of last-mile facilities and electric power company expansion into telecommunications. Second, municipalities are key early adopters of next generation access technology in the form of both fiber-to-the-home (FTTH) and broadband wireless (e.g., WiMax) systems. Third, MEUs are at the nexus of the debate over the proper role for local government in promoting broadband Internet access. Most homes in the United States are served by investor-owned local telephone and cable television providers, using company-owned wireline infrastructure. These providers have generally opposed municipal entry, arguing that it will crowd out private investment and represents an unfair and less efficient form of competition. A number of states have acted to limit—or in some cases—to promote such entry. Before engaging in this debate, it is necessary to have a clearer picture of the current state of municipal entry and the local demographic, cost, industry, and policy factors that influence its evolution. To address this need, this paper reports the results of an empirical analysis of MEUs that provide communications services to the public. This analysis shows that MEUs are more likely to offer such services if they also provide internal communication services to support their electric utility operations (scope economies); are relatively close to metropolitan areas (lower backhaul costs); are in markets with fewer competitive alternatives (cable modem and DSL service availability limited); and which are less encumbered by regulatory barriers to entry (in communities in states which do not restrict municipal entry into telecommunication services). Of these results, the competitive impacts are the least straight-forward to interpret, suggesting richer dynamics and avenues for further research.     

Product and international diversification among Japanese multinational firms

This paper examines the relationship of performance with product and international diversification on Japanese multinational firms from 1977 to 1993. We show the relationships between diversification and performance change over time through the use of multiple time periods and accounting for keiretsu membership. Results show that while diversity strategies vary between keiretsu and non‐keiretsu firms, performance is not much different. Across time periods, performance varies considerably, but strategies are less variable. Product diversity has weak effects on firm performance only in one time period, while international diversification has negative profitability and positive growth consequences in in some periods. These results suggest first that diversification strategies and their effects on performance vary across time periods and generally produce some unexpected findings. We do not find strong interactive diversity effects. Copyright © 2000 John Wiley & Sons, Ltd.     

The future role of international telecommunications institutions

The telecommunications world is being swept by technological and national regulatory changes. The international telecommunication institutions — the ITU, INTELSAT and CEPT — were founded in times when technological trends were more stable and national regulation was more homogeneous. How will they cope with these new changes? In an era of growing heterogeneity, the ITU may need to look increasingly beynd itself to maintain its centrality. Meanwhile, INTELSAT faces challenges from new market entrants and a more flexible approach to new technological and commercial imperatives in satellite and cable services. The EEC is awakening to the need for institutional change within Europe and this is already having an impact on CEPT. It is concluded that to survive and to maintain relevance the existing international institutions will need to initiate changes or face a loss of authority to other institutions such as OECD and EEC.     

New telecommunications services in Austria : A technology assessment

Public fears have grown up surrounding the uncertain potential benefit or harm of recent rapid technological advances in Austrian telecommunications. A technology assessment was called for, to proffer comprehensive and balanced information on the current state of, and future developments in, Austrian telecommunications. This paper explains the organization of the Austrian PTT, discusses successful new services, considers their relationship to the law and the economy, and analyses their social impact.     

The diffusion of an organizational innovation: International data telecommunications and multinational industrial firms

The paper analyses the structural and technological determinants of the diffusion of international data network as a major technological and organizational innovation in a sample of 40 U.S. and European multinational firms in the period 1963–1980. According to the results faster adopters appeared to be large U.S. firms, exposed to worldwide competition, with inhouse telecommunication skills. Smaller European firms adopted the technology later, often pushed by the provision of ad hoc technical solutions by service and hardware marketing firms. Smaller latecomers with centralized management structures were, however, quicker in the diffusion process. Both in the interfirm and intrafirm diffusion ‘implicit knowledge’ was a more effective factor than R–D intensity.     

Economic growth,telecommunications development and productivity growth of the telecommunications sector: Evidence around the world

This paper studies the relationships between economic growth, telecommunications development and productivity growth of the telecommunications sector in different countries and regions of the world. In particular, this study assesses the impact of mobile telecommunications on economic growth and telecommunications productivity. The results indicate that there is a bidirectional relationship between real gross domestic product (GDP) and telecommunications development (as measured by teledensity) for European and high-income countries. However, when the impact of mobile telecommunications development on economic growth is measured separately, the bi-directional relationship is no longer restricted to European and high-income countries. This study also finds that countries in the upper-middle income group have achieved a higher average total factor productivity (TFP) growth than other countries. Countries with competition and privatization in telecommunications have achieved a higher TFP growth than those without competition and privatization. The diffusion of mobile telecommunications services is found to be a significant factor that has improved the TFP growth of the telecommunications sector in Central and Eastern Europe (CEE).     

Consumer spending behavior and telecommunications services. A multi-method inquiry

Despite the enormous capital and marketing investments anticipated by telecommunications providers and policy makers alike, there is a surprising lack of understanding about how consumers are likely to behave in the brave new world of telecom offerings. Drawing on innovative perceptual mapping, conjoint, and respondent-adjusted-demand techniques, this study presents an in-depth, multi-faceted picture of the US telecommunications consumer. Key questions are addressed such as: is there a limit to telecom spending? where does telecom fit within consumer priorities? who are the likely telecom spenders? and what types of offerings are most likely to succeed?     

Regulatory institutions and processes in telecommunications : An international study of alternatives

This article reviews national regulatory institutions and processes for telecommunications, and assesses some advantages and disadvantages of the alternatives. It is based on a report commissioned by the International Telecommunication Union (ITU) in connection with its Regulatory Colloquium programme. The report was prepared by an independent team, and represents their views, not an ITU view. It summarizes experience in numerous countries, and includes detailed case studies.     

Technological and organizational change in Canada

Numerous studies conclude that technological and organizational innovations are mutually supportive. Yet Canadian evidence shows a relative lack of emphasis on the crucial organizational dimensions of the innovation process. This article examines the results of a survey of technological and organizational change in 1,000 establishments and discusses reasons for the relative neglect of organizational factors.     

Internationalisation in the telecommunications services industry: Literature review and research agenda

A review of 356 publications addressing internationalisation aspects of the telecommunications services industry (TSI) shows a growing body of contributions, mainly covering research themes like settlement and regulation policy, strategic alliances and incumbents’ reactions to deregulation as well as opening of markets in-depth until recently. Wireline telephony TSI has been the dominant segment in most contributions, while the mobile or broadband Internet segments only featured in more recent work. Segment characteristics like non-uniform barriers to entry, different reasons for alliances and non-uniform levels of internationalisation differentiate these TSI segments pose a number of additional questions concerning telecom firms’ internationalisation strategy and success promising for future research.