Network Neutrality: Discrimination of VoIP traffic
Bikram Acharya11-12-2012
For businesses◦ Security at a lower cost
For consumers◦ Cheaper and simpler pricing
For service providers◦ Lower investment, capital and
operating costs◦ Entry into new markets◦ Enhanced innovation◦ New business models
Why VoIP is gaining ground
The obstacles to VoIP
•Problems with QoS and reliability•Resistance by incumbents•Regulatory uncertainty.•Specific regulatory requirements
Internet and Voice Penetration world
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
0
1000
2000
3000
4000
5000
6000
0
10
20
30
40
50
60
70
80
90
100
Subscriptions (in millions)Per 100 inhabi-tants
Mob
ile-c
elul
lar
subs
crip
tions
(m
illio
ns)
Per
100
inha
bita
nts
Global mobile-cellular subscriptions, to-tal and per 100 inhabitants, 2001-2011
Source: ITU World Telecommunication /ICT Indicators database
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 20110
10
20
30
40
50
60
70
80
90
100
De-velopedWorldDe-velop-ing
Per 1
00 in
habi
tant
s
The developed/developing country classifications are based on the UN M49, see:http://www.itu.int/ITU-D/ict/definitions/regions/index.htmlSource: ITU World Telecommunication /ICT Indicators database
Individuals using the Internet per 100 inhabitants, 2001-2011
Licensing of VoIP
Subscriber of VoIP
Source: DATE
Source: Point Topic
VoIP Market share
Source: IDATE
Future of Voice!!!
To identify the collaborative way to make sustainable to traditional telephony system and new IP telephony system in same ground
Finding the strategic action to make competitive business with any new comer in the field
How to make supportive environment for the innovative technology
Research Question
Neutrality regime is better than tiered QoS Producer surplus optimize for both VoIP and
WBITP , consumer will enjoy with neutral regime and enjoy free calls social welfare
Hypotheis
Network Neutrality Product Differentiation Vertical Integration Two-sided markets Tiered services VoIP
Keywords
Internet was based on the fundamental principles of openness and nondiscrimination
Consumers and innovators do not have to seek permission before they use the Internet to launch new technologies, start businesses, connect with friends, or share their views.
Preserving Free and Open Internet: Transparency, No Blocking, No unreasonable discrimination1
Network Neutrality
Product Differentiation
Network Provider:• Different QoS for Delay and congestion sensitive application• Pricing according to QoS
•Tiered service• Speed lane better QoS • Normal lane acceptable QoS • Slow lane below acceptable QoS
profit
demand
sup
ply
demand
sup
ply
profit
Two sided market
Regular traffic
Mobile VoIP Service
Voice Call
MM
S
Advertisement
Wireless Broadband Operator with telephony
Subscribers
Regular Traffic
Revenues
Mobile VoIP Service
Voice Call
MM
S
Advertisement
Wireless Broadband Operator with telephony
Regular traffic
Subscribers
Regular Traffic
Revenues
Different QoS for different service•QoS for Voice •QoS for Text•QoS for Advertisement
WBITP can also generate revenues through data
Can capitalize every bits into cents Innovation supportive platform not only
policy Social welfare will be optimize
Two-sided markets
QoS Tiered servicesNetwork Neutrality for advertisement
Tiered QoS for advertisement
Network Neutrality for voice
Tiered QoS for voice
Network Neutrality
Tiered QoS
VoIP
WB
ITP
Krä
mer, J., &
Wie
wio
rra, L. (2
01
2).
WBITP2
VoIP2
Subscribers
VoIP1
WBITP1
Krämer, J., & Wiewiorra, L. (2012). Network Neutrality and Congestion Sensitive Content Providers: Implications for ContentVariety, Broadband Investment, and Regulation.
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Broadband Use in the Home. FCC. (2010). FCC FCC 10-201 released December 23, . Ha, ,. e. (2012). TUBE: Time-Dependent Pricing for Mobile Data. Hwang, J. L. (2011). Internet Pricing and Network Neutrality: How Internet Pricing Schemes
Affect the Incentives of Internet Service Providers. Rouskas, N. G. (2009). On Internet Tiered Service. Sen, S. e. (2012). Incentivizing Time-Shifting of Data:A Survey of Time-Dependent Pricing
forInternet Access. COMMUNICATIONS NETWORK ECONOMICS . Singer, H. (2007). Net Neutrality: A radical form of non-discrimination.
References