Friday, 22 January 2010 4:33 AM

Telekom Infrastructure sharing

What a strange reaction to the issue of shared infrastructure. In most countries this is seen as a good thing to do. When a new provider enters a market and shares the existing infrastructure it pays the incumbent a rent for doing so. This reduces the cost of operation for the incumbent as well allowing more competion and greater customer choice. Everyone wins: the incumbent gets lower costs, the newcomer reduces their start up costs, and the customers get more choice and lower call costs. The final advantage is that it reduces the need for more infrastructure in the enviroment which is good to protect the natural beauty of the countryside.

Disclaimer: The views and opinions expressed in this letter/article are those of Andy McCulloch and do not necessarily reflect the official policy or position of Solomon Times Online.

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