Imperial College London


Business School

Head of the Department of Economics and Public Policy



+44 (0)20 7594 9215t.valletti Website CV




417City and Guilds BuildingSouth Kensington Campus






BibTex format

author = {Valletti, T and Nardotto, M and Verboven, F},
doi = {10.1111/jeea.12127},
journal = {Journal of the European Economic Association},
pages = {330--362},
title = {Unbundling the incumbent: Evidence from UK broadband},
url = {},
volume = {13},
year = {2015}

RIS format (EndNote, RefMan)

AB - We consider the impact of a regulatory process forcing an incumbent telecom operator to make its local broadband network available to other companies (local loop unbundling, or LLU). Entrants are then able to upgrade their individual lines and offer Internet services directly to customers. Employing a very detailed data set covering the whole of the United Kingdom, we find that, over the course of time, many entrants have begun to take advantage of unbundling. LLU entry only had a positive effect on broadband penetration in the early years, and no longer in the recent years as the market reached maturity. In contrast, LLU entry continues to have a positive impact on the quality of the service provided, as entrants differentiate their products upwards compared to the incumbent. We also assess the impact of competition from an alternative form of technology (cable) which is not subject to regulation, and what we discover is that inter-platform competition has a positive impact on both penetration and quality.
AU - Valletti,T
AU - Nardotto,M
AU - Verboven,F
DO - 10.1111/jeea.12127
EP - 362
PY - 2015///
SN - 1542-4774
SP - 330
TI - Unbundling the incumbent: Evidence from UK broadband
T2 - Journal of the European Economic Association
UR -
UR -
UR -
VL - 13
ER -