Network neutrality on the Internet: A two-sided market analysis

被引:160
作者
Economides, Nicholas [2 ]
Tag, Joacim [1 ]
机构
[1] Res Inst Ind Econ IFN, SE-10215 Stockholm, Sweden
[2] NYU, Stern Sch Business, New York, NY 10012 USA
关键词
Network neutrality; Two-sided markets; Internet; Monopoly; Duopoly; Regulation; Discrimination; AT& T; Verizon; Comcast; Google; NET-NEUTRALITY; COMPETITION;
D O I
10.1016/j.infoecopol.2012.01.001
中图分类号
F [经济];
学科分类号
02 ;
摘要
We discuss network neutrality regulation of the Internet in the context of a two-sided market model. Platforms sell broadband Internet access services to residential consumers and may set fees to content and application providers on the Internet. When access is monopolized, cross-group externalities (network effects) can give a rationale for network neutrality regulation (requiring zero fees to content providers): there exist parameter ranges for which network neutrality regulation increases the total surplus compared to the fully private optimum at which the monopoly platform imposes positive fees on content providers. However, for other parameter values, network neutrality regulation can decrease total surplus. Extending the model to a duopoly of residential broadband ISPs, we again find parameter values such that network neutrality regulation increases total surplus suggesting that network neutrality regulation could be warranted even when some competition is present. (C) 2012 Elsevier B.V. All rights reserved.
引用
收藏
页码:91 / 104
页数:14
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