Usage and diffusion of cellular telephony, 1998 - 2004

Michał Grajek; Tobias Kretschmer

We study the dynamics of usage intensity of second-generation cellular telephony over the diffusion curve. Specifically, we address two questions: First, can we draw conclusions about the underlying drivers of technology diffusion by studying usage intensity? Second, what is the effect of high penetration of previous generations and competing networks on network usage intensity? Using an operator-level panel covering 41 countries with quarterly data over 6 years, we find that heterogeneity among adopters dominates network effects and that different technological generations are complements in terms of usage, but substitutes in terms of subscription.

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Year of publication:	2007
Authors:	Grajek, Michał ; Kretschmer, Tobias
Publisher:	Berlin : European School of Management and Technology
Subject:	cellular telephony \| diffusion \| usage intensity \| network effects \| consumer heterogeneity \| fixed-mobile substitutability \| Netzwerkökonomik \| Network economics \| Innovationsdiffusion \| Innovation diffusion \| Mobiltelefon \| Mobile phone \| Konsumentenverhalten \| Consumer behaviour \| Mobilkommunikation \| Mobile communications \| Schätzung \| Estimation \| Welt \| World \| Technischer Fortschritt \| Technological change