Communication Networks Economy

1The Challenges of Building a Network

The user cost of a network is primarily affected by the guidelines put in place for its construction and management. The quality and security of the network dominate the choices made during its development, as they are indicators of a good level of usage on the part of customers and, consequently, of a good return on investment. However, well before taking the economic aspects of a network into account, conditions in the real world very often make it necessary to establish a network as soon as possible in specific places across the territory for political reasons.

1.1. Construction of a national network

1.1.1. Network creation priorities

The construction of a network is the result of will and political strategy. It requires jurisprudence required for managing the so-called “rare resources” attached to network operation. Regulations must be compatible with the development of the network.

1.1.1.1. Primary physical conditions

Responding to an unsatisfied demand, communications networks are constructed year after year, although the hypotheses taken into account at the start of planning may be substantially modified over time. The layout of the network should be designed to be able, going forward, to respond to the needs expressed by citizens at the best possible price. Frugality (here meaning the economical use of resources) should be associated with the need to serve the entire population. The layout of the network must correspond to the ...