Pyramid Points - Leveling the Playing Field with Local Loop Unbundling
  Pyramid Points
Huawei Leads LTE Charge in Middle East
December 5, 2011
Smartphones Boost LatAm Data Revenue
November 14, 2011
Mexico Refocuses on Mobile Penetration Rate
November 9, 2011
Google Wants to Be in Your Wallet Too
October 25, 2011
Turkey Is Headed Over-the-Top
October 19, 2011
Argentine Telcos Battle Netflix with VoD Offers
October 17, 2011
The UK Dreams of a 4G Christmas … in 2014
October 14, 2011
US Tops Global LTE Smartphone Market
October 10, 2011
Put the Pipe to Work in AME
October 5, 2011
FTTH Satisfies the Need for Speed in China
October 3, 2011
Google Seeks Turf in US Fiber Market
September 29, 2011
AME Forecast: Cloudy with Heavy State Subsidies
September 26, 2011
The Empire Strikes Back with Mobile Services
September 19, 2011
Qualcomm Gets the Mobile Innovation Recipe Right
August 19, 2011
Google-Motorola: Everyone Gets a Trophy
August 15, 2011
Ugandan Market Bows under Heavy Competition
August 11, 2011
An Order of Smartphones, Hold the NFC
August 8, 2011
Operators Can Win the West through Partnerships
August 1, 2011
RIM in North American Smartphone Market
July 13, 2011
What LG Must Do Now to Fix Their Handset Strategy
July 11, 2011
TeliaSonera Makes Some New Friends
July 8, 2011
SK Telecom and U+ Launch LTE in South Korea
July 1, 2011
Navigation Providers Try to Find Their Way
June 24, 2011
South African Telecom Market Still Scoring Goals
June 23, 2011
Location, Mobile and Social Are a Triple Threat
June 22, 2011
4G Lite in Cameroon Might Appeal to SMEs
June 20, 2011
Virgin Mobile to Shake Up Latin American Markets
June 15, 2011
Bharti Airtel Plays Well with Others to Cut Costs
June 13, 2011
Rules of Attraction in Malaysia
June 10, 2011
Mobile Social Networks Tap Youth Movement
May 24, 2011
No 3G for Us, Thank You. We Are Algerian.
May 19, 2011
Three Tests for Valuing Latin American Telcos
May 17, 2011
Brazil Goes Louco for Mobile Broadband
May 12, 2011
Skype Gives Microsoft a Much Stronger Voice
May 10, 2011
Why Windows Phone Will Beat Android
May 9, 2011
A Mixed Picture for IPTV Uptake in CEE
May 5, 2011
Brazil Gets Serious about Broadband
April 28, 2011
Angry Birds Pig Out on NFC-Enabled Smartphones
April 27, 2011
Poles Go on a Smartphone Diet
April 25, 2011
Kenyans Sprint Toward a Strong Telecom Future
April 14, 2011
LTE in Russia Gets a Big Boost from Yota
April 12, 2011
Will Nigerian Telcos Still Have Goodluck?
April 5, 2011
mMoney in Africa: A Win for MNOs, GDPs and M4D
April 1, 2011
Iran Market Players Need More Farsi Content
March 24, 2011
Cricket Chirping: Winners in AT&T/T-Mobile Deal
March 22, 2011
Egypt, Keep Your Eyes on the Ball
March 17, 2011
We Want 8.3bn Smart, Cheap Handsets
March 4, 2011
A Full Dance Card for Polkomtel
February 24, 2011
America Movil Shines in Q4
February 23, 2011
Mobile World Congress Ends on a High Note
February 22, 2011
New Mobile Payment Services for Digital Goods
February 18, 2011
Much Ado About NFC
February 18, 2011
MVNOs Perform Death-Defying Feat: Global Growth
February 17, 2011
mAD Men in Barcelona
February 16, 2011
Service Providers: Content Can Roam Free
February 15, 2011
Symbian Is Dead. Long Live Windows Phone.
February 11, 2011
ICT Adoption Gathers Masses in Egypt
February 4, 2011
Telefonica and MasterCard partner on Mobile Payment Venture
February 2, 2011
The Pole Vault from 3G to 4G
January 31, 2011
AME Pay-TV Sector to Have a Big Growth Spurt
January 27, 2011
Operators to Benefit from Social mApplications
January 25, 2011
Virgin Mobile to Verge into the French Multiplay Market
January 21, 2011
Chinese Conquer European Smartphone Space in 2011
January 5, 2011
Thailand mobile market: Still waiting for 3G
December 28, 2010
Saudi Arabia Strives to Remain Regional Leader
December 14, 2010
Movistar Remesas a Step in the Right Direction
December 9, 2010
Barrett Xplore Beats Big Boys to 4G Punch
December 1, 2010
M-Agriculture: Answering the Call for Information
November 18, 2010
Polish Operators Seek Evolution for the Long Term
November 16, 2010
Operator Harmony Secures Vibrant Fiber Future for Italy
November 12, 2010
A Year of Firsts for Telecom Sector in Vietnam
November 10, 2010
Windows Phone 7 Heats Up Mobile Platforms Rivalry
November 8, 2010
New Operator Is Making Big Waves in Tunisia
November 3, 2010
VoIP Growth in AME: The Rumors Are True
November 1, 2010
Private Equity's Public Role in European M&A
October 25, 2010
Latin American Regulators Need Spectrum Smarts
October 6, 2010
Mobile Operator Competition Heats Up
September 30, 2010
Why France Telecom in North Africa Makes Sense
September 28, 2010
Do Four Ps Spell Broadband for All?
September 24, 2010
Indian Government’s 3G Stick Prods MNP Adoption
September 13, 2010
Worldwide Handset Sell-Through Volume Up 7.3%
September 2, 2010
Ukrtelekom: The Blushing Bride Awaits Her Suitor
August 30, 2010
Italian Telecom Market to Rise from Flames of Fraud
August 26, 2010
For the UK Pay-TV Sector, Only Sky Is the Limit
August 24, 2010
Broadband-Based Services Are Lead Actors in Bulgaria’s Telecom Growth Story
August 20, 2010
Boosting Broadband in Malaysia
August 18, 2010
FTTH Deployments in the UAE to Boost Broadband Services
August 16, 2010
Multiplay in Latin America Is Hot and Getting Hotter
August 13, 2010
How RIM Can Get Its Smartphone Groove Back
August 11, 2010
European Telcos Dance to the Samba Beat
August 10, 2010
RIM’s Confrontation with the UAE Could Spell Disaster
August 6, 2010
Ugandan Telecom Market Boosted by New Cables and Competitors
August 5, 2010
Customers Win Big in Mexican Spectrum Auction as Greater Competition Looms
July 26, 2010
Leveling the Playing Field with Local Loop Unbundling
July 23, 2010
All Latin American Operators Can Benefit from Mobile Number Portability
July 21, 2010
Cable Guys: Keys to Success for Africa’s Undersea Bandwidth Projects
July 19, 2010
Latin American Operators Poised to Pounce on Prepaid Mobile Broadband Opportunity
July 15, 2010
3G and WiMAX to Drive Broadband Services Growth in AME
July 12, 2010
Mobile Banking in Latin America Jumps from the Lap to the Hand
July 8, 2010
India and Russia Lead the Way on Multi-SIM Handset Adoption
June 30, 2010
O2 Is Next to Escape the “All You Can Eat” Trap
June 17, 2010
Pricing Mobile Broadband in Africa & the Middle East: The Search for the Secret Sauce
June 10, 2010
Western Europe Will Cure Its World Cup Fever with Mobile TV
June 7, 2010
As Predicted, AT&T Moves Beyond Unlimited Data Plans
June 4, 2010
German Spectrum Auction to Pay “Digital Dividends”
May 26, 2010
Turkish Telecom Market: More Competitive with Better Networks
May 24, 2010
Selling Prepaid Mobile Broadband: The Next Phase
May 18, 2010
How to Avoid the Telco Tar Pit
May 11, 2010
Telefonica reverses decline in Central America
April 1, 2010
Prepaid Mobile in Africa: It’s Complicated
March 12, 2010
Canada Primes for a Mobile Data Gold Rush
March 10, 2010
Sky Faces Limited Horizons in Central America
March 8, 2010
Bharti’s African Adventure
February 24, 2010
FTTH Price Premiums: Enjoy Them While They Last
February 19, 2010
Millicom Keeps Profits Stable in Central America
February 17, 2010
The Next Challenge for Claro: Watch Those Margins
February 11, 2010
Emerging Markets Make the Most of SMS
February 3, 2010
Emerging Market Operators Go Underground
January 29, 2010
Buying Shelf Space at the App Store
January 28, 2010
Clearwire and Its Fuzzy WiMAX Outlook
January 22, 2010
3G Stock Rises in Eastern Europe
January 12, 2010
China Preps for a High-Fiber Future
January 8, 2010
Social Networking Goes Mobile in Africa
January 4, 2010
In Bulgaria, Expect a Cable Boom to Follow the Latest Merger
December 23, 2009
Lagging Its Regional Peers, ICE Debuts Its 3G Network in Costa Rica
December 21, 2009
Israel, the Land of Mergers and Acquisitions
December 18, 2009
Fishing for Tots and Old Holy Rollers
December 16, 2009
In Costa Rica, RACSA Reaches for the Clouds
December 1, 2009
Why BlackBerry Will Be No. 1 by 2014
November 9, 2009
Thailand Inches Closer to 3G
November 6, 2009
Nicaragua Plays Russian Roulette with WiMAX
November 4, 2009
Broadband, Italian Style: Lower Price, Lower Uptake
November 3, 2009
LA Mobile Operators Turn a Deaf Ear to Ringtones
November 2, 2009
Ghana Has Fun with Numbers
October 30, 2009
GSMA Mobile Asia Congress: More Relevant Than Ever
October 27, 2009
Incumbent TP Stays Intact, but Competition in Poland Will Heat up
October 23, 2009
Hurdles until the End for 3G in Thailand
October 21, 2009
In Europe, Multiplay Fever Spreads East
October 20, 2009
Panama Swamped by Mobile Saturation
October 16, 2009
Anti-Piracy Moves Boost VoD Prospects in China
October 15, 2009
English Football Goes Cut-Rate in Singapore
October 14, 2009
Guatemala Tax Plan Could Stymie Mobile Voice Traffic
October 13, 2009
Russia Goes on a High-Fiber Diet
October 8, 2009
Why Vodafone Needs 3G in Turkey
October 5, 2009
Singapore F1, SingTel and the Need for Speed
October 2, 2009
Turkey Faces Big Mobile ARPS Squeeze
September 25, 2009
Orange with Water Is No MVNO in Senegal
September 23, 2009
Mobile Uptake in Africa: Competition Is Key
September 18, 2009
Orange Is the Top Pick for T-Mobile UK Joint-Venture
September 8, 2009
Nokia and Its New Cash Machine: Mobile Banking
September 1, 2009
iPhone in Korea: Another Apple Hit?
August 25, 2009
Mobile Broadband Says Nyet to Recession
August 21, 2009
Vodafone kills two birds with one customer loyalty program
August 20, 2009
Mobile Gaming: A Pirate-Free Future?
August 13, 2009
Telefónica and Its Looming Subscriber Challenge
August 4, 2009
Bali Hi: 3G Comes to Indonesia
July 30, 2009
Tigo on a Tear in Central America
July 24, 2009
Internet in Turkmenistan: The Barrier Raises, but Outlook Remains Hazy
July 21, 2009
New iPhone to Energize Latin American Smartphone Market
July 16, 2009
The Looming Battle in Mexico for Mobile Broadband Spectrum
July 13, 2009
T-Mobile UK: Why a Sale Makes Sense
July 6, 2009
3G in Tunisia: Vive la France (Telecom)!
July 2, 2009
Telekom Malaysia: Dumb Is Smart
June 26, 2009
DirecTV Goes Directly to the People
June 25, 2009
CommunicAsia 2009: Smartphones and App Stores Cut Through the Noise
June 23, 2009
No mobile number portability for Ugandans — for now
June 19, 2009
Swiss Road to 4G: Construction Ahead
June 15, 2009
I Just Called to Say I Love You
June 12, 2009
Android Branding to Boost Vendors
June 10, 2009
The Battle for 3G+ Spectrum in Mexico
June 5, 2009
E Pluribus Claro
June 3, 2009
3G Capex Boost Goes Beyond China
May 29, 2009
Orange Goes the Freebie Route in Spain
May 27, 2009
LTE Capex in Japan: The $10bn Question
May 22, 2009
Latin America’s Pay-TV Price Wars
May 21, 2009
Telefónica Maintains Margins, Loses Customers in Central America
May 18, 2009
Lower LTE Costs Translate into Declining Prices
May 15, 2009
Dutch Networks Put Up a Good Fight for MVNOs
May 14, 2009
Spanish Government to Levy New Tax on Telecom Operators and Private TV Stations
May 12, 2009
Despite Downturn, Dutch Broadband Operators Up Their ARPS
May 11, 2009
Europe Chooses between Prepaid and Postpaid Mobile Broadband
May 8, 2009
Number Portability in Latin America
May 7, 2009
Millicom grows mobile subscription base in Bolivia
May 5, 2009
Have UK Operators Reached Consensus on Refarming or Must Ofcom Intervene?
May 1, 2009
For Claro, the Situation in Central America Remains Unclear
April 30, 2009
Competition Drives Innovation in Kenyan Mobile Payment Services
April 27, 2009
Usage Caps and Restrictions May Slow Demand for Mobile Broadband
April 24, 2009
Despite the Financial Crisis, Mobile Users Want to Remain with Tigo
April 23, 2009
Digicel Makes a 180-Degree Turn with 360
April 21, 2009
Open season on spectrum in Latin America
April 20, 2009
Digicel Encourages Users to Make More — and Longer — Calls
April 15, 2009
Five Vietnamese Operators Win 3G Licenses
April 14, 2009
Becoming the Norm: Multi-SIM Ownership Drives Mobile Growth in Russia
April 8, 2009
In Emerging Markets, Mobile Broadband Will Substitute for Fixed Broadband
April 3, 2009
A New Dimension of Competition in the Kenyan Telecom Market
April 2, 2009
Telefonica O2 stretches its reach in Germany
March 27, 2009
CDMA Operators Make Waves in the Nigerian Mobile Market
March 24, 2009
A Perfect Romanian Couple?
March 19, 2009
Voice and SMS Converge in Nigeria
March 13, 2009
Svyazinvest Raises Local Tariffs by 8%
March 11, 2009
Hungary: And the New Mobile Operator Is...
March 10, 2009
An Ambitious Broadband Strategy in Germany
March 9, 2009
Thai Operators Put Aside $1.2bn for 3G Capex
March 6, 2009
One Day, Real Competition Will Come to Fixed Telecom Market in Slovakia
March 5, 2009
Telefonica Pushes IPTV in Brazil
March 3, 2009
Nokia Siemens Networks Wins Contracts in China
March 2, 2009
Mobile Markets in Central Asia: The Right Conditions for Growth
February 27, 2009
New Spectrum in Canada
February 26, 2009
Pay-TV in Africa & the Middle East
February 24, 2009
Telco IPTV Continues to Deliver
February 23, 2009
NTT Goes on an Adventure with Tata in India
February 20, 2009
Mobile Finance Arrives at a Regulatory Crossroads in Africa
February 19, 2009

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Leveling the Playing Field with Local Loop Unbundling

July 23, 2010

For several years, governments have promoted the telecom sector by implementing public policies that encourage service penetration, improve the competitive environment and increase the portfolio of services at prices affordable to the population. Among the most challenging initiatives is local loop unbundling (LLU), which seeks to promote fair conditions among operators by requiring incumbent carriers to lease the local segment of their network to competitors.

LLU is intended to increase the penetration of telecom services. By incorporating private capital, telephone density and ultimately broadband penetration will increase. The alternative wireless access technologies developed thus far have not matured sufficiently to compete with wired access technologies, so the fixed-line copper lines in play with LLU are the only viable option for operators seeking to provide broadband access.

Every developed country has implemented LLU, and several emerging economies have done it or are in the process. This gives us an idea of the significance regulators around the world are giving to such an initiative. Although competition remains the most important driver of increased broadband penetration, LLU provides new entrants with equal market circumstances.

Some of the reasons behind unbundling the local loop include:

  • Facilitating innovation and product differentiation
  • Promoting competition in the provision of broadband services
  • Allowing operators to give a better choice of applications and improved service levels
  • Giving customers alternatives in terms of telecom services and price
  • Enhancing economic growth and increasing competitiveness in the global market

For a better understanding of LLU and for some case studies, read more about it in Pyramid Research’s Global Insider How Operators Can Benefit from Local Loop Unbundling Done Right.

— Jose Mercado, Senior Analyst



Related resources:

Global Mobile Demand Forecast
Forecast published quarterly
Our Mobile Demand Forecast product provides a complete picture of demand trends globally. The Excel output includes five years of historical data and five years of market projections for metrics such as GDP, mobile penetration, subscriptions (by operator, type of package, technology), ARPS and total mobile service revenue (data and voice). The Forecast is based on extensive field research and uses a consistent methodology across all markets, aiming to capture the total spending, from an end-user perspective, on mobile communication services on an aggregate global level. Data from this Forecast is available online for subscribers to our Data Tracker service.

Global Fixed Communications Forecast
Forecast published quarterly
This Fixed Communications Forecast product provides a complete picture of wireline voice and data communications globally. The Excel output includes five years of historical data and five years of market projections for metrics such as demographics and economic trends, penetration of broadband and narrowband lines, Internet users, business users, voice telephony lines, VoIP, PCs, IPTV and revenue. We believe our Fixed Communications Forecast is superior because it captures granular data gathered through extensive field research and use a thorough methodology consistently applied to all markets. Data from this Forecast is available online for subscribers to our Data Tracker service.

Global Mobile Data Forecast
Forecast published quarterly
Updated on a quarterly basis, this Mobile Data Forecast product provides a complete picture of demand trends for the global market. The Excel output includes five years of historical data and five years of market projections for metrics such as penetration, mobile subscriptions (by type of package, by operator or MVNO and by network technology), users of specific data services (SMS, music, etc.), MOU, ARPS (by operator, by subscription type, by service, by application) and revenue (by messaging and non-messaging applications). The Forecast is based on extensive field research and uses a consistent methodology, aiming to capture the total spending on mobile data services on an aggregate global level. Data from this Forecast is available online for subscribers to our Data Tracker service.

Mobile Enterprise Services in Emerging Markets: A Survey of Innovation and Opportunities
Research report published January 2010
This report analyzes the prospects of mobile services targeting enterprises of all sizes in emerging markets. It evaluates services and mobile network operators with an eye to the uniqueness of each market while continually referencing more mature markets. The report assesses the prospects of various business-oriented services as well as specific initiatives, looking at the roles of applications such as SMS, email, m-commerce and digital signatures as well as M2M services — telematics and telemetry. Handsets, netbooks and laptops are also discussed. Seven case studies covering mobile operators, enterprises and a WiMAX operator examine Autotransportes de Carga Tres Guerras in Mexico, Zap in Kenya and Tanzania, Hospital Espanhol in Brazil, Vodacom Business in South Africa, Yota and MTS in Russia, and Vodafone in Romania.

Emerging Opportunities: Broadband Adoption Surges in Central America
Telecom Insider published May 2010
Broadband penetration in Central America, at 2.46% of the population in 2009, still lags the Latin American average of 6.33%. Central America’s unequal income distribution, the cost of expanding the limited fixed infrastructure and insufficient competition in some markets are among the reasons behind the lag. However, market conditions are improving rapidly and latent demand for broadband in Central America will produce strong, sustained growth ahead of the Latin American average due to new competitors and sales tools, such as bundling and financing. The combination of these developments will lead to another 1.65m broadband connections being added during 2009-2014. This Telecom Insider examines broadband penetration in both the business and residential markets in Central America and the competitive pressures that current fixed broadband operators are facing from both fixed and mobile players and their potential impact on uptake. Case studies examine the broadband strategies of two Central American operators.





 


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