Competition and Investment in the Local Loop

The debate about unbundling the local loop has so far taken place exclusively within the context of Hong Kong’s domestic market. In this paper I wish to raise it within a slightly different context, that of the relationship between Hong Kong and China as a trade and investment issue. This is an alternative perspective that I believe will become increasingly relevant in the years to come. It is based upon recent research and interviews conducted in Guangdong with telecommunications operators and regulators.

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