Telecommunications Investment Research Articles

Socio-Economic Infrastructure and Standard of Living in Nigeria

This study investigated the effect of socio-economic infrastructure on the standard of living in Nigeria for the period 1981–2021. The study used per capita income as a proxy for standard of living, while investments in health, education, telecommunications, and electric power supply were used as infrastructure. The exchange rate entered the model as a control variable. Annual time series data were obtained from secondary sources including the CBN annual statistical bulletin, and World Bank development indicators. The Eview10 Statistical Software was employed to analyze the data empirically. Due to the stationarity condition of the time series data, the study adopted the autoregressive distributed lag (ARDL) model to ascertain its objectives. The study revealed that, in the short run, the coefficient of electric power supply has a positive effect on standard of living and is significant, while in the long run, the coefficient of telecommunication infrastructure has a positive influence on standard of living and is significant. The study concludes that the place of power supply and communication cannot be undermined as Nigeria plans for sustainable economic growth and development. Therefore, it was recommended that there be a deliberate attempt to improve the quality of health care and education. Secondly, the federal government should see the provision of electric power and the reduction in airtime and internet data as the main drivers of the standard of living in Nigeria.

EXAMINING THE EFFECTS OF INFORMATION AND COMMUNICATION TECHNOLOGY ADVANCEMENTS AS WELL AS EDUCATIONAL INITIATIVES ON ECONOMIC GROWTH

In order to develop and stabilize a particular economy across various life domains, economic construction is a fundamental endeavor. The development and growth of the economy are two aspects that are always related and always impacting each other. Undoubtedly, several factors contribute to economic growth, including the development of technology, modalities, and Human Resources (HR). This study uses a quantitative analysis with an object of study in the Sumatera Utara Province for the 2019–2022 period. The research methodology employs a Multiple Linear Regression analysis with the aim of determining the relationship between dependent and independent variables. The research findings indicate that, while the variables investing in telemedicine do not negatively affect economic growth, the use of the internet and education do have a positive impact. On the other hand, simultaneously, the variables of internet usage, telecom investment, and education have an impact on the growth of the Sumatera Utara economy.

A REVIEW OF POST-COVID TELECOMMUNICATION INVESTMENT TRENDS: IMPACTS ON INFRASTRUCTURE DEVELOPMENT

The post-COVID era has catalysed a transformative phase in the telecommunication sector, with dramatic shifts in both consumer behaviour and enterprise needs. This study offers a synthesized review of investment trends in telecommunications following the pandemic, detailing their implications on infrastructure development. The initial pandemic response saw an exponential rise in the demand for robust connectivity, necessitating rapid infrastructural adjustments to cater to remote work, online education, and digital healthcare. This paper identifies significant post-COVID investment trends in telecommunications, which include an augmented drive for broadband and fibre-optic expansion, an accelerated rollout of 5G networks, heightened investments in cloud services and data centres, and a notable surge in mergers and acquisitions. This investment influx has palpably advanced infrastructure development rates, with a focus on enhancing capacity, speed, reliability, and geographical reach. However, the ramifications of this swift expansion are multifaceted. On the socio-economic front, there has been substantial job creation, technology democratization, and improved accessibility, especially in historically underserved areas. In parallel, the environmental footprint of this growth is also scrutinized, shedding light on increased energy consumption, challenges in electronic waste management, and resource utilization. From a business perspective, while there's enhanced market competition and improved service quality, companies also grapple with new challenges in customer retention, experience management, and competitive differentiation. Furthermore, this paper elucidates evolving policy landscapes, marked by modified telecom regulations, incentivization strategies, and measures to ensure equitable access. In conclusion, the post-pandemic telecommunication investment trends have undeniably fast-tracked infrastructure development, but with nuanced implications for society, environment, business, and policy. The forward trajectory, though promising, requires a harmonized effort from stakeholders to ensure sustainable and inclusive growth. 
 Keywords: Telecommunication, Infrastructure, Investment, Government, Post-Covid, Policy.

Timing Evaluation of Telecom Investment Decision under Demand Uncertainty

Under uncertain conditions, the problem of selecting investment timing for telecom network optimization and expansion projects is common in the investment practice of telecom operators. By examining the characteristics of the demand and price of the telecommunications industry, combined with historical data of the telecommunications industry, an exponential function relationship of prices meeting demand is proposed, and then an investment timing decision model under the condition of uncertain demand is established on this basis. Studies have shown that when the value of the investment project is 1.5634 times the investment cost, the value of the investment option is the largest, and this is the optimal investment opportunity. The value of the investment opportunity F(V), the value of the project V ∗ , the degree of demand uncertainty σ , and discount rate ρ are positively correlated, and it is negatively correlated with the opportunity cost δ of delaying project investment and keeping investment options alive.

Mathematical Modeling of European Countries’ Telecommunication Investments

This study investigates the amounts of countries’ telecommunication investments and seeks a decent method to mathematically model the data. Using fractional calculus, two methods are proposed which are called model 1 and model 2 in the study. A comparison is performed between the conventional polynomial model and models 1 and 2 using the yearly data of telecommunication investments from France, Germany, Italy, Spain, Turkey, and the OECD total. The proposed methods outperform the conventional polynomial model.

Rules, institutions, or both? Estimating the drivers of telecommunication investment in Latin America

ABSTRACT This paper analyses the impact of regulation and institutions on telecommunications investment in Latin America. The investment levels of the region lag behind those of advanced economies and are impeding substantial progress on digital transformation. Using a database built for this analysis, which covers nearly 90 percent of Latin American countries for 2007–2017, we confirm the relevance of regulatory and institutional frameworks to explain investment trends in the sector. We also show that a good institutional quality contributes significantly to counteracting partially a bad regulatory environment, and vice versa. However, the impact is significantly stronger when good regulation and institutions interact, suggesting that comprehensive reforms to improve institutions and the regulatory environment would pay off. In particular, improving cybersecurity and piracy control regulation, and fighting corruption and undue influence stand out as the priorities to increase telecommunication investment in Latin America.

Estimating the Nexus between Internet Usage and Economic Growth in Somalia: Role of Hormuud Telecom Investment

Internet is becoming a driving force for Somalia’s economic growth, creating jobs and enabling startups to get funds and communicate value. It is also permitting incumbent firms to benefit from international trade. This study examines the contribution of the Internet to Somalia’s economic growth from 1999 to 2020. We measure economic growth by the real GDP growth rate, while the Internet penetration rate measures internet usage. The variables exports, imports, investment, and consumption, are considered to influence economic growth in Somalia. The study utilized the endogenous growth theory to develop an empirical framework, and Generalized Linear Model (GLM) was employed to estimate the parameters of the study. The presence of the unit root in series is tested while cointegration between the variables is examined using Engle-Granger Method. The results of this study reveal that internet usage positively contributes to economic growth in Somalia. We also found that consumption is the most significant driver of economic growth in Somalia, and international trade has a beneficial impact on the economic growth in Somalia. The study found evidence that the Internet supports all economic activities in Somalia as it is the means for communication, information exchange, and knowledge spillover. This study suggests Internet in Somalia is emerging and needs vast infrastructure investment. Such investment boosts internet penetration and reduces the cost of internet usage, which helps Somalia exploit industrial formation.

GLOBALIZATION, INFORMATION COMMUNICATION TECHNOLOGIES AND ECONOMIC GROWTH IN NIGERIA

To achieve a meaningful pace of economic growth, most developing countries throughout the world embark on various policy reforms, and one of the policy reforms adopted in Nigeria was globalization and trade liberalization. While such policies have not provided the desired effects due to their linkage effect, the adoption and implementation of Information and Communication Technologies (ICTs) to supplement government efforts in these economies has brought considerable results. However, this technical advancement is expected to have a rapid impact on Nigeria's economic development. The policy on ICT adoption began shortly after the civilian regime took control in the year 2000. The country's licensed telecommunication service providers have had some noticeable macroeconomic effects, such as job creation and the expansion of the scope of small and medium businesses, faster service delivery, lower transportation costs, increased security, and higher national output, as well as an increase in teledensity of both fixed and mobile lines. The model's findings revealed that current telecommunications investment had no effect on GDP growth, but that investments made in the preceding two years had a considerable impact on current GDP, even though government spending slowed growth. A similar discovery was made about computer usage and how it influences investment decisions in Nigeria's telecommunications sector.

The model declaratory action in the German Civil Procedure Act

The model declaratory action was established in the Chapter 6 of the German Civil Procedure Act when the act was partially amended on July 12th, 2018. Articles 606 through 614, nine articles in total, governs this type of action. The revised German Civil Procedure Act entered into effect on November 1st, 2018. During the past two years, seven cases including the Volkswagen case and the Auto loan bank case has been resolved or pending at the court. To summarize, the model declaratory action in Germany allows plaintiffs in collective dispute to seek individual relief such as damages. In 2001, approximately 17,000 investors individually filed lawsuits regarding the so-called “Deutsche Telecom investment fund case”, and such massive lawsuit filings almost disabled usual operations of the courts. As a response to this, German lawmakers revised the Capital Investor - Model Procedure Act (Kapitalanleger - Musterfahrengesetz, abbreviated as “KapMug”) and established the model procedure only in the collective disputes regarding capital investment. The model procedure was entered into the effect on November 1, 2005 and the effect was expired on the pre-determined expiration date, November 1, 2020. As effects of the model procedure under the Capital Investor - Model Procedure Act expires, to redress collective disputes in all areas, German lawmakers established the model declaratory action in the Chapter 6 of the German Civil Procedure Act by significantly improving existing model procedure. This article closely evaluates German model declaratory action by reviewing its Concept(definition and legal characteristics, Chapter II), Requirements(Chapter III), Contents and publication of the complaint and litigation procedure(Chapter IV), Settlement while the model declaratory action is pending(Chapter V), and Judgments, Appeals, and Effects of the judgments(Chapter VI), based on the texts of the Articles 606 through 614 of the German Civil Procedure Act. German model declaratory action endows a group in German ‘litigation by a group’ with standing as a plaintiff. By doing so, the group may have a judgment regarding causes of the collective dispute from the High court having jurisdiction for all consumers. Then it is regarded that individual consumers who were registered on litigation registry of the model declaratory action can enforce the effects of the judgment. Based on the judgment of the model declaratory action, the registered consumer can claim damages in his or her individual litigation by proving amounts of damages occurred to him or her. German model declaratory action is distinguished from Class-action in the U.S. in that the German procedure is not an one-step dispute resolution that include litigation procedure and enforcement procedure. Rather, in German model declaratory action, a qualified group files a lawsuit and receives a judgment; and later an individual consumer files individual litigations, receives his or her own judgments, and enforce the individual judgment. This article evaluates establishment of German model declaratory action as a developing its own way of dispute resolution.

Electrification, telecommunications, and the finance-growth nexus: Evidence from firm-level data

We explore variations in access to energy and telecommunications improvements across firms in 57 and 112 developing countries, respectively, between 2002 and 2014, and find that national investments in technological infrastructures provide a channel through which financial development promotes firm-level adoption of tangible innovations. In particular, when countries make large investments in their energy (electricity and natural gas) and telecommunications infrastructures, firms with greater access to financial resources are better positioned to benefit from these investments, experiencing significantly fewer power interruptions, more adoptions of power generators, and greater website use, all of which are related to higher firm-level growth in sales and employment. • Infrastructure investments operate through financial development to affect firm growth. • Firms with financial access leverage energy infrastructure to see fewer energy interruptions. • Firms with financial access leverage telecom investments to see more website usage. • Results derive from data for as many as 112 developing countries.

Rules, Institutions, or Both? Estimating the Drivers of Telecommunication Investment in Latin America

This paper analyzes the link between regulation, institutions, and telecommunications investment in Latin America. The investment levels of the region lag behind those of advanced economies and are impeding substantial progress on digital transformation. Using a database built for this analysis, which covers nearly 90% of Latin American countries for 2007-2017, we confirm the relevance of regulatory and institutional frameworks to explain investment trends in the sector. We also show that a “good” institutional quality contributes significantly to counteract partially a “bad” regulatory environment, and vice versa. Moreover, their impact is significantly stronger when good regulation and institutions interact, suggesting that joint reforms to improve institutions and the regulatory environment would pay off. In particular, improving cybersecurity and piracy control regulation, and fighting corruption and undue influence stand out as the priorities to increase telecommunication investment in Latin America.

Digital inequality in the Appalachian Ohio: Understanding how demographics, internet access, and skills can shape vital information use (VIU)

Access to information and resources via the Internet is an increasingly vital dimension of contemporary life. However, there can be several impediments to optimal Internet utilization in the form of access, skills, and motivation. Even when access is available, several digital inequalities arise as citizens often lack the skills and motivations to pursue those vital uses through the Internet to the best of their advantage. Digital inequalities in the hills of the Appalachian area of Ohio are often manifested in terms of social, cultural and geographic divides. Not only do the hills block wireless signals and make cables expensive to install, but regional poverty also drives away telecom investment. We conducted a survey of Appalachian Ohio to explore digital inequity issues and the determinants of online participation for things that matter. Through a number of analyses, we explore how Internet access and digital skills impact online contribution to the community in terms of services and resources considered to be basic social needs: health, employment, education, and social media. These social needs, what we have called Vital Internet Use (VIU) can determine citizens’ political and civic participation, societal contribution, and overall benefit to their communities. Centered on the concepts of digital access, Internet skills, and benefit outcomes, we extend knowledge in this domain and propose a comprehensive framework of VIU.

Satellite-to-Ground FSO System Based on Multiaperture Receivers as an Optimization Solution for Strong Turbulence and Fog Conditions

Abstract Satellite-to-Ground Downlink-Free Space Optics (SatGD-FSO) communication systems are emerging as the key driver for telecom investment, with several factors driving this convergence. It is attractive to minimize the size, weight, and power profiles of the space terminals by utilizing high affectability and huge accumulation collection zone ground terminals. Multiaperture coherent receivers using spatial diversity approached is considered on the attractive solution can fulfill this necessity and have numerous focal points over the single enormous opening cognizant recipients. The effects of atmospheric and climatic conditions using various dynamic system parameters have been investigated as a function of bit-error-rate (BER) performance of multiaperture coherent receivers. Types of orbits, aperture averaging, zenith angle, transmit optical power, and modulation schemes are systematically investigated and compared to the SatGD communication system. The proposed solution with a maximum throughput of 2.5 Gbps is useful for a plan and optimization improvement of the SatGD-FSO systems.

Institutions and Telecommunications Investment

Closing the digital divide and fostering the digital economy is considered one of the keys for the countries to increase productivity and economic growth. To achieve those objectives, investment in telecommunications networks is crucial. This paper develops a theoretical framework to explain the link between public institutions and telecommunications investment. This model is estimated for a sample of 13 European countries during the period 2007–2015. Results were clear in verifying a positive association between institutional quality and investment levels. These findings were robust to different specifications of the model, and to the control of potential endogeneity linked to the institutional variable. Novel findings also pointed out at institutional quality being more relevant for most disadvantaged countries, in terms of development and digital connectivity. Furthermore, we found evidence of Property Rights being the main cause of concern for telecom operators, followed by corruption, judicial independence, transparency, and in a lesser degree, by political favoritism and trust.

Effects of telecommunications investment and ICTs diffusion on economic growth in the West African Economic and Monetary Union

Effects of telecommunications investment and ICTs diffusion on economic growth in the West African Economic and Monetary Union Moussa Coulibaly, Moussa Sigue, Lamissa Barro Abstract This article analyses the effects of telecommunications investment and ICTs diffusion on economic growth in the West African Economic and Monetary Union. The empirical analysis is made on the basis of an ARDL model on panel data covering the period 1996-2017. The empirical model was estimated using the Pooled Mean Group (PMG), Mean Group (MG) and Dynamic fixed effect (DFE) methods. The results show that telecommunications investment has a positive and significant impact on long-term economic growth in the WAEMU. The results also show that the combined diffusion of mobile phones and the Internet among populations in the WAEMU positively and significantly affects long-term economic growth in the Union. In view of these results, this research calls on WAEMU countries to provide greater support for telecommunications investment and the spread of ICTs use among populations in order to accelerate economic growth in the WAEMU. Full Text: PDF DOI: 10.15640/jeds.v8n3a2

ПАР В СУЧАСНІЙ СИСТЕМІ МІЖНАРОДНИХ ВІДНОСИН В ПІВДЕННІЙ АФРИЦІ

Вивчаються особливості міжнародних відносин у Південній Африці. Розкриваються особливості розвитку ПАР як регіонального лідера. Наголошується на тому, що країна відіграє провідну роль в регіоні через сприятливе географічне положення і досить високий рівень економічного розвитку. Підкреслюється значення зовнішньої політики сучасної ПАР. Відзначається, що зовнішня політика ПАР здійснюється на трьох рівнях: регіональному, континентальному і глобальному. На першому з них республіка, маючи в своєму розпорядженні не тільки значним військово-політичним, але і найбільшим в Африці економічним потенціалом, може вважатися практично безальтернативним претендентом на лідерство. ПАР є локомотивом САДК і привертає трудові ресурси з усіх прикордонних країн, що не мають настільки розвиненої промисловості і не відрізняються настільки ж високим за регіональними мірками рівнем заробітної плати.Наголошується, що Стратегія ПАР в рамках САДК будується на трьох китах: відновлення, зміцнення і збереження політичної єдності та згуртованості в рамках САДК. З’ясовано, що роль ПАР полягає у поглибленні економічної інтеграції, і інтенсифікації розвитку регіональної інфраструктури. Доводиться, що ПАР взяла на себе провідну роль в регіоні для вирішення багатьох соціально-гуманітарних питань, особливо за допомогою економічної складової. Підтверджується, що Південна Африка також грає важливу роль з точки зору того, що вона є стартовим майданчиком для іноземних інвестицій в іншій частині Африки. Доводиться, що зовнішня політика ПАР в регіоні сприяла:- створенню нових робочих місць;- модернізації існуючої, а також створення нової інфраструктури - в тому числі інвестиції в телекомунікації;- технологічного розвитку за рахунок поставки висококваліфікованих кадрів;- збільшенню податкових надходжень, а також збільшення споживчого вибору в приймаючих країнах;- створенню сприятливого бізнес клімату в південноафриканських країнах.Робиться висновок, що зовнішня політика ПАР в регіоні не завжди конструктивна по відношенню до інших південноафриканським країн. Південноафриканські корпорації домінують і це призводить до монополії і гегемонії ПАР. Економічна і політична міць Південної Африки на Півдні континенту є незаперечною. Політична нестабільність визначається як чинник послаблення лідерських позицій ПАР в регіоні.

ICT and Economic Growth in East African Countries: A Panel Data Approach

This paper empirically investigates the impact of telecommunications infrastructure in East Africa. The researcher uses the International Telecommunication Union, UN and World Bank data and applies the instrumental variable-generalized method of moments to a panel of 19 countries over the period 2000-2015. Whether telecommunication investment contributes or not to economic growth has been at the center of literature debate over time with varying empirical evidences for developed and developing nation. The effect of telecom market privatization has been controlled through independent panels. The results show that the telecom index composed of the Internet, mobile cellular and fixed line has contributed to economic growth. A one percentage point increase in this telecom index usage raises real per capita growth by 0.02 for the panel of whole countries. The result is more than this for countries that privatized their telecom sector and less for those that failed to privatize. Overall, the results suggest that the expansion of telecommunications infrastructure fosters economic growth in East Africa. With much room for potential growth enhancement of telecommunications infrastructure, policies to expand access to telecom services should be strongly encouraged by respective governments in general and privatization of telecommunication remained under government control in particular is desired. DOI : 10.7176/JIEA/9-7-01 Publication date: December 31 st 2019

Investment component in promoting the development of the digital economy and society

The purpose of the article is to substantiate the investment component in promoting the development of the digital economy and society. Methodology. General scientific methods are used in the research, in particular system economic analysis – to substantiate the strategic dominants of the digital transformation of the economy; statistical analysis – to study the current state and trends in foreign direct investment in digitalization; methods of positive and normative analysis – to develop recommendations for improving the investment component in promoting the development of the digital economy and society. Results. The analysis of the capital investment dynamics by section of information and telecommunications for 2010–2018 shows an increase in the share of telecommunications in its total capital investment by 0.38 percentage points. This increase was due to a slight increase in telecommunications investment in 2018 and an overall increase in capital investment. In general, capital investment increased 3.2 times in eight years, and investment in information and telecommunications – 3.5 times. It is proved that significant innovative changes in telecommunications, the transition to 3G and 4G in 2015 and 2018 increased the amount of investment in these periods by 14,799.9 million UAH and 11,489.7 million UAH, respectively. According to the growth rate, it is necessary to note the receipts in the area of computer programming and the provision of other information services, which increased 11 times (telecommunications – 3.4 times, publishing, radio, television – 2.5 times). It is noted that foreign direct investment in the economic activity of information and telecommunications has a positive trend to increase from 1,734.9 million USD in 2010 to 2,201.1 million USD in 2018. These investments also characterize a favorable investment climate for foreign investors when investing in digitalization. It is proved that today in Ukraine the most attention is paid to the creation of high-tech and engineering clusters. In addition, the development of intersectoral alliances, RD centers, laboratories, incubators, accelerators, venture funds and innovation teams is promising. The strategic dominants of the economy digital transformation are determined. Practical meaning. The main priority projects for investing in transformation infrastructure in 2020–2030 are presented. Prospects for further research. It is substantiated that the model of financing through venture capital, business angels, grants, business incubators, accelerators, crowdfunding platforms, innovation teams is expedient for innovative projects. It can be through raising funds in the stock market, through IPOs, SPOs, ISOs, direct investment funds, mutual investment institutions, state and non-state pension funds.

Mandated Sharing and Telecom Investment in Latin America and the Caribbean - Appendix

Appendix for the paper Mandated Sharing and Telecom Investment in Latin America and the Caribbean published in Journal of Regulatory Economics.

Mandated sharing and telecom investment in Latin America and the Caribbean

The main objective of this paper is to look at the effects of mandated sharing on investment in the telecommunications sector in Latin America and the Caribbean (LAC). Given the relevance of promoting suitable regulatory conditions to stimulate the huge investments required for the region to close its digital divide, this paper intends to provide inputs for the design of regulatory frameworks, particularly towards finding out the optimal levels of intervention. Our results suggest that sharing obligations have been linked with lower investment intensity in the region. Those results are robust to the addition of control variables which may also have an incidence on investment decisions, and to the treatment of possible endogeneity in the estimates. Further checks provide specific insights about the negative effect of mandated co-location obligations and mandated infrastructure sharing. As for local loop unbundling, it was found to have a negative effect on investment intensity only if introduced jointly with price regulation. As a result of the findings reported in this paper, we suggest that regulatory bodies in LAC should pursue light and flexible approaches in order to promote the much-needed investments. In particular, sharing decisions should be the result of voluntary agreements between those concerned, not because of imposed mandates.