Law Commons^™

Vertical Separation Of Telecommunications Networks: Evidence From Five Countries, Robert W. Crandall, Jeffrey A. Eisenach, Robert E. Litan

Federal Communications Law Journal

The widespread adoption of mandatory unbundling in telecommunications markets has led to growing interest in mandatory "functional separation," i.e., separation of upstream network operations from downstream retail operations. Since 2002, vertical separation has been implemented in five OECD countries: Australia, Italy, New Zealand, Sweden, and the United Kingdom. In 2008, the International Telecommunications Union noted "a tremendous amount of interest" in functional separation around the world; and, in April 2009, the European Parliament held its second reading on a new regulatory framework that embraces functional separation as an "exceptional measure." While the U.S. does not currently require unbundling of broadband …