(A) study on economics and design models for subscriber networks in information superhighways

Abstract

Confronted with information society, the importance of information infrastructure cannot be emphasized too much. In this study, we have considered the design problems in the implementation of broadband subscriber networks which, together with backbone networks, are major components of information superhighways. Especially, the market situation and economic factors as well as technical requirements were taken into account in order to develope efficient and effective subscriber networks implementation model. Fiber optics and other competing alternative architectures, excluding codeless technologies, have been the target systems. In supply-side, first, technical factors of optical media and their evolution can be abbreviated into economies of scale and scope, in terms of economics of technique. Second, since network-type production functions have two functionalities which are related to transmission and switching, respectively, it must be required to think over the dynamic influences of interaction between these functionalities on subscriber networks topology. In demand aspect, the potential market powers of different services were considered. With the above reflections so as to combine and synthesize these contents, mixed integer dynamic programming model was suggested. Also parametric scenario analyses and their results were presented.