Convergence and Competition: Why A Duopoly of Convergent Competitors Might Be Sufficient to Protect Broadband Consumers Without Regulation

INTRODUCTION................................................................................... 139 I. TECHNOLOGICAL CONVERGENCE ........................................ 141 II. BACKGROUND OF THE WIRELESS AND BROADBAND INDUSTRIES............................................................................... 143 III. EFFECT OF CONVERGENT COMPETITION ON DUOPOLIES . 148 A. Form of Convergent Competition .......................................... 148 B. Intensity of Convergent Competition ..................................... 153 IV. THE SHAPE OF THE FUTURE BROADBAND INDUSTRY......... 157 A. Wireless Broadband as a Third Pipe ...................................... 158 B. Broadband-over-Power-Line as a Third Pipe ....................... 160 V. MODELS FOR BROADBAND REGULATION............................. 161 A. The Proactive Regulatory Approach....................................... 162 B. The Reactive Antitrust Approach........................................... 163 C. The Effect of Technological Convergence on Future Broadband Policy.................................................................. 164 CONCLUSION....................................................................................... 166