Adoption of Fixed-mobile Convergence in the US Telecommunication Industry

Abstract

Fixed-mobile convergence (FMC) is a radical innovation for telecommunication companies because it requires them to move into unknown territories that are beyond traditional business lines and underlying technologies. In the meantime, understanding what types of telecommunication companies are better at doing business through the early adoption of FMC has become increasingly important in the converging telecommunication industry. This paper tries to examine several firm characteristics and their influence on the extent of FMC adoption in the US telecommunication industry. The results show that FMC is still in the early stage and that firm scope and size have a significant positive impact on the extent of FMC adoption.