Krämer Bundling Telecommunications Services : Competitive Strategies for Converging Markets

have begun to offer their services, such as voice telephony, Internet and TV in so-called triple play packages. While carefully recognizing the technological, legal and economic framework of the fixed-line telecommunications industry, this book investigates whether bundling is indeed a profitable pricing strategy for the firms and if it can possibly facilitate the leverage of market power into neighboring markets. In contrast to previous work on bundling, a symmetric duopoly market structure is considered, with two firms having market power in their respective home markets, but without any clear ex-ante advantage for either firm on the converged market.