Under The Influence Of Competition Law Concept Of Asymmetric Regulation

The development of the telecommunications industry in developed countries is approximately demarcated by 1980. The time before 1980 is called pre-competition stage, which the telecommunications industry universally takes monopoly mode in world. The time from 1980 is nominated introduction competition stage. The alter in the practice of regulation have a relative relation with the development of the regulation theory. The essence of the regulation theory is natural monopoly and economies of scale, so the first regulation is to maintain the monopoly advantage of public utility. However the Sub additivity and the Economies of Scope changes the traditional attitude to natural monopoly, all but infrastructure and Basic Service can develop great provided competition is introduced. So the laws regulateing public utility included telecommunication industry beginning to transform the mode of regulation and introduce competition.The asymmetric regulation in the legal institutions which introduces competition, is of vital importance to telecommunication industry. Advance in telecommunication technology make competition impossible, but the incumbent operators will safeguard vested monopoly interest and take use of its market power hindering new entrants'operation. It is the reason of introducing competition that the small dynamic to competition cannot contend against the great opposition to competition. The most important is to discriminate the regulated object in the legal institution of asymmetric regulation. The most influential measure is SMP assessment system. The basic term of establishing asymmetric regulation is to judge the relative market firstly, and ascertain the existence of valid competition in relative market, and determine to take specific and reasonable asymmetric measure. By means of asymmetric measure on the incumbent operator limiting its market power, the fairer competition surroundings can be created for new operator and the competition in telecommunication can be fostered and vindicated. Chinese telecommunication industry is the stage introducing and breed competition, so we should explicit bring in the law about asymmetric regulation.