Input-output model for telecommunications sector

Feature image
  • Company: PwC ConsultingDate: 2002Sector: Telecommunications / Public Administration
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  • Customer: Comisión del Mercado de las TelecomunicacionesFunction: Regulation
  • Type of project: Finance; Regulation; Strategy
  • My role: Project sale responsible and project execution supervisor

The customer was the Spanish telecommunication sector regulator (C.M.T.), that wished to have a more detailed information and analysis on the interrelations among the sector players in Spain. To obtain this, it wanted to define an intrasectorial input-output model that could relate services supply for end users by the operators to intermediate and interconnection services purchases among these operators.

This type of models were defined and developed by Wassily Leontief to represent interdependencies among industrial sector within a given economy, or among cooperating regional economies. In this case, the C.M.T. wanted to define a similar model exclusively for the telecommunications sector, considering each operator as a 'subsector' that buys and sells services to other 'subsectors'.

The work encompassed the following activities:

  • Input-output model definition, in terms of analysed elements (service sales) among operators
  • Design of a support tool for the model, that would allow the automatic and manual input of data and the model results calculation
  • Selection of the operators that would have to provide information for the model, depending on its size, services provided/purchased and the degree of interconnection with other operators
  • Definition and preparation of a standard form to obtain the required information from the operators

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