Saturday, September 02, 2023

Lexicon of competition in advanced telecommunications

Facilities-based competition: Owners of network infrastructure compete to gain access to end user premises. Incumbents have advantage due to high competitor cost barriers to entry, first mover advantage. “Overbuilders” compete with incumbents with delivery infrastructure offering superior value, end user experience and support, reliability.

ISP competition: Internet service providers lease access to open access networks and compete to sell voice, video and data and value added services to end users.

Financial structure competition: Investor owned, market-based network infrastructure versus publicly owned or consumer utility cooperative owned infrastructure. Higher cost capital seeking relatively rapid return on investment versus lower cost, patient capital, respectively.

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