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J. Crémer, P. Rey, J. Tirole (2003)
Connectivity in the Commercial InternetJournal of Industrial Economics, 48
R. Cawley (1997)
Interconnection, pricing, and settlements: some healthy jostling in the growth of the Internet
M. Weiss, Seungjae Shin (2002)
Internet Interconnection Economic Model and its Analysis: Peering and SettlementNetnomics, 6
D. Carlton, J. Perloff (1990)
Modern Industrial Organization
G.W. Brock
Telecommunications Policy for the Information Age
Michael Kende (2003)
The Digital Handshake: Connecting Internet BackbonesCommLaw Conspectus: Journal of Communications Law and Technology Policy, 11
Seungjae Shin, M. Weiss, Hector Correa (2004)
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D. Minoli, Andrew Schmidt (1999)
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Bassam Halabi (1997)
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Purpose – The purpose of this paper is to survey the internet industry structure from the interconnection point of view and demonstrate why peering is difficult to achieve in the local access market. Design/methodology/approach – An internet interconnection game model is built and equilibrium analysis is provided in this paper. Findings – The paper finds that the key element as an internet industry structural determinant is peering interconnection and the relationships created by that interconnectedness. Even if peering is an efficient way to exchange traffic freely, the dominant strategy for small, local internet service providers (ISPs) in the internet access market is transit. This result shows that it is hard to make a peering arrangement for the small ISPs with small amounts of traffic and a limited number of subscribers. Originality/value – This paper supports internet policy makers reviewing the internet interconnection policy.
Info – Emerald Publishing
Published: Jan 1, 2006
Keywords: Internet; Game theory; Partnership
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