Game Model Analysis on the Policy of Unbundled Network Elements

On September 28th, 2008, MIIT released urgent notice on the co-construction and sharing of telecommunications infrastructure which referred to the policy of unbundled network elements (UNEs).This article introduced the unbundling policy and mainly analyzed strategies of the stakeholders by two game models, a modified Cournot duopoly model for the UNEs price regulation and a bids game model with incomplete information on the policy of UNEs. Based on the first one, we suggest that (1) the regulator should mandate the unbundling policy to improve the social welfare; (2) the network elements should be subdivided first, and be treated differently. In the second model, we tried to set forth a simple liner strategy and give out some suggestions for all the players in this model.