The effect of innovative services on mobile network traffic

摘要

Although current mobile network traffic is usually believed to exhibit the price sensitivity, this might not the case at the innovative mobile services since most mobile operators of today provided almost homogeneous services to their subscribers, based on a theoretical model of innovative services effect on mobile network traffic, we find frequent services innovations undoubtedly increase the traffic even in the conditions of price fluctuation, further analysis and empirical implementation show that mobile operators without innovative services will not be bound to increase their traffic or mobile services consumption even if they decline the tariff dramatically for attracting subscribers.