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Next Generation Networks Can the GATS Adapt?

Next Generation Networks Can the GATS Adapt?. Lee Tuthill WTO. ?. - NGN: a more competitive landscape? - Rules? More, less or different?. Competition. Dominant players? Bottlenecks? Ease of market entry? Price competition?. Regulation. Safeguarding competition? Interconnection?

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Next Generation Networks Can the GATS Adapt?

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  1. Next Generation NetworksCan the GATS Adapt? Lee Tuthill WTO

  2. ? -NGN: a more competitive landscape?-Rules? More, less or different?

  3. Competition • Dominant players? • Bottlenecks? • Ease of market entry? • Price competition?

  4. Regulation • Safeguarding competition? • Interconnection? • Licensing? • Universal access?

  5. Are they adaptable? • GATS framework articles • GATS Annex on Telecoms • The Reference Paper • Market access commitments

  6. Neutrality re: Technologies GATS Provisions • do not rule out any particular technologies or means of supply from coverage of the agreement GATS Commitments • Commitments can be made, and are encouraged, as neutral vis-à-vis the technologies used to supply the services

  7. Neutrality re: Measures GATS obligations, incl. Telecom Annex and Reference Paper • do not specify what law or agency must implement obligations; so can be sector law/agency, competition law/agency, etc • do not specify whether measures should be ex-ante or ex-post; so can adapt to light-handed approach

  8. IP networks & WTO disciplines • GATS Telecom Annex – explicitly covers “reasonable and nondiscriminatory” access to and use of leased circuits • Reference Paper? – interconnection defined as “linking”; a panel has ruled it is a broad concept

  9. IP networks & WTO disciplines Annex & Reference Paper Obligations? • apply only to “public” & basic “transport” services... concepts losing significance • Public: “required, explicitly or in effect, by a Member to be offered to the public generally” • Transport: “real-time transmission of customer-supplied information between two or more points without any end-to-end change in the form or content”

  10. IP networks & WTO disciplines Benefits? • Benefits of the Reference Paper disciplines accrue only to basic services providers • Is this realistic in an integrated IP-based environment?

  11. WTO Telecom Commitments Technology neutral? Classification schemes • GATS classification(W/120) voice vs. data? names technologies? • UN Central Product Classification public vs. (leased) business service? • Also, distinction between telecom & some computer service classifications outdated

  12. Technology neutral? Telecom scheduling: Chairman’s Note • Designed to adapt the classification to evolution of technology and regulation • allows distinctions ... but most important, confirms if commitment comprehensive • But ... the distinctions are blurring and terms/definitions in flux, esp. as regards liberalized vs. less liberal markets...

  13. GATS framework articlesRegulation? • GATS disciplines cover domestic regulation such as licensing, licensing requirements and technical standards • Regulatory neutrality is not prevented ... nor is it required • Likewise for Telecom Annex & Reference Paper provisions on licensing and universal service frameworks

  14. Implications? If IP-based networks & services lead to enhanced competition ... • Important elements of GATS provisions could become less critical • General competition policy and ex-ante measures could be used • The WTO rules become a “fall-back”?

  15. ? Can GATS adapt ? • Most provisions are normally cast as overarching, adaptable principles • Negotiators took important steps to accommodate technological and regulatory developments • Classification schemes, some terms and definitions are a possible weak point

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