Research Article

Net Neutrality in the Content Provision and Internet Service Provision Markets

Volume: 72 Number: 2 January 18, 2023
EN TR

Net Neutrality in the Content Provision and Internet Service Provision Markets

Abstract

Relaxing net neutrality in the form of introducing termination fees and its welfare effects are considered in a model of imperfect complements. The equilibrium of the game between the internet service provider (ISP) and the content provider (CP) yields welfare-maximizing termination fees that depend on the relative size of the ISP’s and the CP’s own-price effects and the cross-price effects. Only when the ISP’s own price effect is relatively high compared to that of the CP’s, along with high cross price effects, such a fee should be allowed. On the other hand, when the CP’s own price effect is relatively high compared to that of the ISP’s, along with high cross price effects, mergers are expected and are likely not harmful to social welfare. Telecommunication regulators may find the results useful in their net neutrality decisions.

Keywords

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References

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Details

Primary Language

English

Subjects

Business Administration

Journal Section

Research Article

Publication Date

January 18, 2023

Submission Date

May 10, 2022

Acceptance Date

June 30, 2022

Published in Issue

Year 2022 Volume: 72 Number: 2

APA
Erkul, T., & Ecer, S. (2023). Net Neutrality in the Content Provision and Internet Service Provision Markets. İstanbul İktisat Dergisi, 72(2), 689-724. https://doi.org/10.26650/ISTJECON2022-1113428
AMA
1.Erkul T, Ecer S. Net Neutrality in the Content Provision and Internet Service Provision Markets. İstanbul İktisat Dergisi. 2023;72(2):689-724. doi:10.26650/ISTJECON2022-1113428
Chicago
Erkul, Turgut, and Sencer Ecer. 2023. “Net Neutrality in the Content Provision and Internet Service Provision Markets”. İstanbul İktisat Dergisi 72 (2): 689-724. https://doi.org/10.26650/ISTJECON2022-1113428.
EndNote
Erkul T, Ecer S (January 1, 2023) Net Neutrality in the Content Provision and Internet Service Provision Markets. İstanbul İktisat Dergisi 72 2 689–724.
IEEE
[1]T. Erkul and S. Ecer, “Net Neutrality in the Content Provision and Internet Service Provision Markets”, İstanbul İktisat Dergisi, vol. 72, no. 2, pp. 689–724, Jan. 2023, doi: 10.26650/ISTJECON2022-1113428.
ISNAD
Erkul, Turgut - Ecer, Sencer. “Net Neutrality in the Content Provision and Internet Service Provision Markets”. İstanbul İktisat Dergisi 72/2 (January 1, 2023): 689-724. https://doi.org/10.26650/ISTJECON2022-1113428.
JAMA
1.Erkul T, Ecer S. Net Neutrality in the Content Provision and Internet Service Provision Markets. İstanbul İktisat Dergisi. 2023;72:689–724.
MLA
Erkul, Turgut, and Sencer Ecer. “Net Neutrality in the Content Provision and Internet Service Provision Markets”. İstanbul İktisat Dergisi, vol. 72, no. 2, Jan. 2023, pp. 689-24, doi:10.26650/ISTJECON2022-1113428.
Vancouver
1.Turgut Erkul, Sencer Ecer. Net Neutrality in the Content Provision and Internet Service Provision Markets. İstanbul İktisat Dergisi. 2023 Jan. 1;72(2):689-724. doi:10.26650/ISTJECON2022-1113428