The cost allocation of Voice and data traffic in Mobile Telephone Network
Jung Choong-young · The Journal of the Korean Institute of Information and Communication Engineering · 2004
This paper discusses cost allocation model of common facilities in voice and data traffic of mobile telephone network. There are several methods to be considered including traffic, facility, revenue, Ramsey, and benchmarking in local loop unbundling for High Speed Internet. It is important to investigate the strength and weakness of each method. This paper reviews the theoretical literatures and compares the characteristics of each methodology. Also, case studies are employed to get the implications concerned. As a result, in the beginning, it is desirable to introduce 50:50 allocation method used in local loop unbundling in UK. Then, it is recommendable to apply the ratio allocation method as the quantities of voice and data traffic become equal.