Communication Networks Economy

Daniel Battu was previously a Chief Engineer of Telecommunications and is currently a consultant in network standardization. He is the author of several technical publications in telecoms and multimedia and a former researcher at CNET (R&D Group) and a multimedia teacher at Paris-Dauphine University in France.

Preface xiii

Chapter 1. The Challenges of Building a Network 1

1.1. Construction of a national network 1

1.2. Security of network operations 5

1.3. State communications network 10

1.4. System for connecting network users 11

1.5. The search for regulations and network growth 11

1.6. Land use planning 23

1.7. So-called "network" laws 26

1.8. Usage metrics for digital technology 27

1.9. Conclusions 28

Chapter 2. Network Structure and Architecture 29

2.1. Analog and digital 29

2.2. Distribution network 34

2.3. Long-distance connections 49

2.4. Next-generation networks 50

2.5. Internet 53

2.6. Digital network terminals 66

2.7. Internet applications 69

2.8. Overview of network connections 80

2.9. Network management staff 81

2.10. Assessments considered by network operators 84

Chapter 3. Communications Services Regulations 87

3.1. The international regulatory framework 87

3.2. The European regulatory framework 97

3.3. Main French authorities involved 100

3.4. 1980s tariff principles 102

3.5. 1990s reform 109

3.6. Tariff principles in force in 2016 110

3.7. Pricing practices 117

Chapter 4. Supply and Demand in Communications 125

4.1. Providers and customers 125

4.2. Obligations of network operators 136

4.3. Remote payments 148

4.4. "P2P" exchanges 156

4.5. Remote computing 162

4.6. Features of the digital economy 164

Chapter 5. The Impact of the Internet on the Economy 169

5.1. Network operators and the new economic order 169

5.2. The Internet’s original provisions 180

5.3. The new economy 196

5.4. Longevity of network services 205

5.5. The Internet and politics 214

5.6. Experts faced with the future of the Internet 220

Chapter 6. The Economy and the Future of the Internet 231

6.1. Building a national network 231

6.2. Internet network structures 232

6.3. Network regulations and pricing systems 233

6.4. The issue of supply and demand 233

6.5. The Internet and the economy 234

6.6. An Internet of optimists 236

Appendices 239

Appendix 1. GNP, GNI and GDP 241

Appendix 2. Potential Harmfulness of Radio Waves 245

Appendix 3. ICT and Telecommunications: Sustainable Development 247

Appendix 4. Variation in "Working Day" Telephone Traffic in 1970 249

Appendix 5. Hourly Variation in National Phone Tariffs (1985) 251

Appendix 6. Measuring the Information Society (11 October 2012) – ITU 253

Appendix 7. The Development of SIM Cards 255

Appendix 8. List of Recommendations from ITU-T Study Group 3 257

Appendix 9. The Cost of Capital 263

Appendix 10. NGN and the Internet in Figures 265

Appendix 11. Standardization of Mobile Financial Services (Extract – ITU-T, February 2016) 271

Appendix 12. The Internet's Flaws (Vint Cerf) 273

Bibliography 275

Glossary 281

Index 287