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http://dx.doi.org/10.7472/jksii.2014.15.5.123

Internet Interconnection settlement model under Asymmetric Network Value Environment  

Lee, Sang Woo (Broadcasting Communication Policy Research Division, ETRI)
Ko, Chang Youl (Department of Accounting, Jeju National University)
Choi, Sun Me (Broadcasting Communication Policy Research Division, ETRI)
Publication Information
Journal of Internet Computing and Services / v.15, no.5, 2014 , pp. 123-132 More about this Journal
Abstract
Internet is composed of many independent networks referred to as Internet Service Providers (ISPs) and each provider is generally interconnected based on a commercial agreement. Though many countries are engaged in deregulation in internet interconnection, there is still debate whether the large ISPs are unwilling to peer with small providers, have incentives to lower the quality of data transmission of transit operators or set the interconnection charge regarding the actual costs incurred by the interconnection. Korean government introduced regulations in internet interconnection after observing noticeable anti-competitive behaviors from 2005. This paper analyzes whether there is margin squeeze problem/market concentration, and suggests political proposals in Korean regulation status.
Keywords
Internet; Interconnection; Settlement model; market concentration;
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