Abstract
This paper considers some technological and industrial aspects of cellular telephony. It is in this framework that the regulation of the sector is discussed. First, the technological continuity among different generations of mobile systems is stressed. It is then pointed out that mobile systems are also linked in terms of supply-side conditions. Considerable economies of scope are to be obtained by building and operating different mobile networks in the same area. The major conclusion is that the goal of fair competition between licence holders operating established cellular services and new operators entering PCS and PCN services should be achieved on a ‘welfare’ basis, ie preserving the economies of scope offered by building and operating different mobile networks in the same area.
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