Network interconnection with competitive transit

David Gilo*, Yossi Spiegel

*Corresponding author for this work

Research output: Contribution to journalArticlepeer-review


We examine the interaction between two interconnected networks (e.g., two local exchange carriers (LECs)) and a third network (e.g., an interexchange carrier (IXC)) seeking access to their customer base. The IXC could either interconnect with both LECs or interconnect with only one LEC and transit calls to the other LEC via the first LEC's network. We show that there is a wide set of cases in which competitive transit could justify partial or even complete deregulation of access to a network's customer base.

Original languageEnglish
Pages (from-to)439-458
Number of pages20
JournalInformation Economics and Policy
Issue number3
StatePublished - Sep 2004


  • Access pricing
  • Bill and keep
  • Interconnection
  • Telecommunication
  • Transit


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