Preview

Moscow University Economics Bulletin

Advanced search

Single wholesale network for 5G: are investment savings achievable?

https://doi.org/10.38050/01300105201966

Abstract

The article assesses single wholesale network (SWN) model - concentration of access to key infrastructure facilities within one company - for developing 5G. The main argument in favor of SWN is the possible capex savings, which are highly relevant in Russia. But setting up SWN will require state regulation which implies additional costs. The article shows limitations for SWN’s efficiency presenting quantitative analysis of the consequences associated with the SWN’s incentives to inflate capex, regulation inefficiency, guaranteeing non-discriminatory access as well as additional costs to comply with state procurement rules. The methodology may be used for regulatory impact assessment that make the article especially valuable in analysis of state intervention.

About the Authors

S. B. Avdasheva
NRU Higher School of Economics
Russian Federation

Moscow



D. V. Korneeva
NRU Higher School of Economics
Russian Federation

Nizhny Novgorod



Yu. A. Orlova
NRU Higher School of Economics
Russian Federation

Moscow



References

1. Avdasheva S. B., Kokorev R. A., Kryuchkova P. V., Plaksin S. M. & Shastitko A. E. Ispol’zovanie otsenok reguliruyushchego vozdeistviya dlya sovershenstvovaniya korporativnogo zakonodatel’stva. Byuro ekonomicheskogo analiza. — M.: TEIS, 2006. — 255 p.

2. Avdasheva S. B. & Kurdin A. A. Zadachi torgovykh politik chastnykh kompanii kak instrumenta regulirovaniya i razvitiya konkurentsii: mirovoi opyt i popytka prognoza // Ekonomicheskaya politika. — 2013. — No 5. — P. 106–126.

3. Golovanova S. V. Problemy ogranicheniya konkurentsii na rynkakh, smezhnykh s rynkami klyuchevykh moshchnostei // Zhurnal Novoj jekonomicheskoj associacii. — 2013. — Vol. 4. — No. 20. — P. 110–132.

4. Kolegov V. V. Osobennosti institutsionalizatsii otsenki reguliruyushchego vozdeistviya na regional’nom urovne. Opyt vnedreniya v Moskve // Voprosy gosudarstvennogo i municipal’nogo upravlenija. — 2013. — No. 2. — P. 95–112.

5. Kodachigov V. Vo skol’ko oboidetsya raschistka chastot dlya sotovoi svyazi pyatogo pokoleniya. Vedomosti (electronic journal). — 24.10.2018. URL: https://www.vedomosti.ru/technology/articles/2018/10/24/784635-raschistka-chastot-dlya-sotovoi-svyazi-pyatogo-pokoleniya (accessed 20.11.2018)

6. Ministry of Finance of the Russian Federation. (2015) Ispolnenie federal’nogo byudzheta i byudzhetov byudzhetnoi sistemy Rossiiskoi Federatsii za 2014 god. URL: https://www.minfin.ru/common/upload/library/2015/09/main/KNIGA_2014_Izdano.pdf (accessed: 12.07.2018).

7. Ministry of Finance of the Russian Federation. (2018). Statisticheskie pokazateli, kharakterizuyushchie rezul’taty osushchestvleniya zakupok dlya obespecheniya gosudarstvennykh i munitsipal’nykh nuzhd po itogam I — IV kvartalov 2017. URL: https://www.minfin.ru/common/upload/library/2018/04/main/Monitoring_IV_kv_2.pdf (accessed: 26.07.2018).

8. Peschinskii I. Popravki Minenergo privedut k rostu platy za prisoedinenie. Vedomosti (electronic journal). — 06.11.2015. URL: https://www.vedomosti.ru/business/articles/2015/11/06/615793-popravki-minenergo-privedut-rostu-plati-prisoedinenie#%2Fgalleries%2F140737492495819%2Fnormal%2F1 (accessed: 20.11.2018).

9. Popovskii A. Kak nam obustroit’ 5G v Rossii (electronic journal). — 2018. URL: http://www.mforum.ru/news/article/119016.htm (accessed: 30.11.2018).

10. 5G v Rossii: Perspektivy, podkhody k razvitiyu setei. — 2018. URL: https://www.pwc.ru/ru/assets/5g-research.pdf (accessed: 20.11.2018).

11. «Cifrovaja jekonomika» Rossii obrela pervye kontury // TASS. — 09.01.2018. URL: https://tass.ru/ekonomika/4862377 (accessed: 20.11.2018).

12. Averch H., Johnson L. L. Behavior of the firm under regulatory constraint // The American Economic Review. — 1962. — Vol. 52. — No. 5. — P. 1052–1069.

13. Balaeva O., Yakovlev A. Estimation of costs in the Russian public procurement system // International Journal of Procurement Management. — 2017. — No. 10(1). — P. 70–88.

14. Mathewson F., Winter R. An Economic Theory of Vertical Restraints // Rand Journ. Econ. — 1984. — Vol. 15. — P. 27–38.

15. PwC. Public Procurement in Europe: Cost and Effectiveness, PricewaterhouseCoopers, A Study on Procurement Regulation Prepared for the European Commission // London Economics and Ecorys. — 2011.

16. Sappington D.E. M. Regulation // In: Handbook of Telecommunications Economics. — 2002. Vol. 1. — Structure, Regulation & Competition. Cave, M., Majumdar, S. & Vogelsang (eds.).

17. Schmalansee R. and Rohlfs. Productivity gains resulting from interstate price caps for AT&T” // National Economic Research Associates. — 1992. — September 3.

18. Valletti T. M. Estache A. The theory of access pricing: An overview for infrastructure regulators // World Bank Policy Research. Working Paper. – 1998. – No. 2097.

19. Vogelsang I. Price Regulation of Access to Telecommunications Networks // Journal of Economic Literature. — 2003. — Vol. 41. — Issue 3. — P. 830–862.


Review

For citations:


Avdasheva S.B., Korneeva D.V., Orlova Yu.A. Single wholesale network for 5G: are investment savings achievable? Moscow University Economics Bulletin. 2019;(6):59-78. (In Russ.) https://doi.org/10.38050/01300105201966

Views: 215


Creative Commons License
This work is licensed under a Creative Commons Attribution 4.0 License.


ISSN 0130-0105 (Print)