Abstract The paper deals with the regulatory remedy of “Wholesale Line Rental” (WLR) also simply called „Resale“. As there is still a major lack of competition regarding voice telephony access, WLR could offer a wider field of strategic actions to alternative network operators so that they have the same scope of possibilities as incumbent operators. It is shown, that service competition does not necessarily cannibalise infrastructure competition, and, in contrary, a complementary relationship can be expected which means that service competition is often essential to enable sustainable infrastructure competition by walking along the ladder of investment. For this purpose a consistent price regulation that also considers the differences in the risks at the various stages of the value chain is inevitable. In this regard Retail-Minus is the preferred price setting method.
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