Abstract

Surveying the movement towards digitization of communications, the authors of this article identify two conflicting models of development. The first, which they term the in-house model, is the extension of private networks controlled by the major corporate users of telecommunications; the second, epitomized by ISDN, aims to update the public telephone network. Examination of trends over the past 30 years shows that the in-house model is triumphing almost everywhere. The advantages to the Western corporations and financial institutions are obvious, but the supposed benefits to the less-developed countries, in particular, could be a cruel illusion.

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