The Impact of Shared Telecom Infrastructure on Digital Connectivity and Inclusion

Résumé

Nearly half the world remains offline, and capital scarcity stalls new network buildouts. Sharing existing mobile towers could accelerate connectivity. We assemble data on 107 towersharing deals in 28 low-income countries (2008–20) and estimate staggered difference-in-differences effects. Two years after a transaction covering over 1,000 towers, the PPP-adjusted mobile-price index falls $1.60 (s.e.1.10) from a baseline of $3.16, while data prices drop $1.00 (0.29), baseline $3.41/GB. The number of mobile connections increases. Rural internet access increases by 4.7 pp and female-headed households by 3.6 pp. Tower-sharing agreements increase product market competition as measured by Herfindahl–Hirschman Index.

Mots-clés

Mobile Telecommunications; Vertical Integration; Digital Technology Adoption;

Codes JEL

L96: Telecommunications
L14: Transactional Relationships • Contracts and Reputation • Networks
O14: Industrialization • Manufacturing and Service Industries • Choice of Technology