Mirjam Lange

Broadband Price Diversity: Good for Adoption?

Is price diversity a bad thing for consumers or does it foster broadband take-up, especially by laggards? Academic research finds that tariff diversity is a driving factor for broadband adoption and does not impede take-up. Based on a rich original dataset with more than 10,000 residential retail broadband offers for 23 European states between 2003 and 2011, my research found that broadband demand is positively related to increased tariff diversity, especially in the presence of inter-platform competition.