rivatising an operator is not sufficient in 2. PTOs, especially if they have a near monopoly in their own itself. Economically there is no advantage to having a private country, sometimes move overseas in order attack the dominant monopoly compared to a public monopoly. Competition is usually PTO of that country in their home territory, before the PTO introduced for three reasons: concerned also moves overseas. A case of 'the best line of defence is attack!' 1. To lower the price of a service. It is assumed that several 3. Local players are critically dependent on the local regulatory suppliers would compete, causing the price to the end user to environment and the state of the local economy. Spreading their fall. The side effect of this is that suppliers are forced to become activities over several countries also helps to cushion them more efficient in order to maintain their margins. against adverse conditions in any local area. The motto is very 2. To improve the quality of service, such as low disruptions and clearly, 'think globally, act locally.' quick installations. Users make a choice between competing 4. Equipment suppliers sometimes also become service providers suppliers on the basis of price and quality. and vice versa (vertical integration). An equipment supplier 3. To improve innovation and investment in services and infra- will operate globally in order to increase the addressable mar- structure. Governments are not effective in making investment ket and so recoup the considerable investment which he has decisions, and there is little incentive for a supplier, who is in a made in developing new technology, which often has a rela- monopolistic position, to make investments in improved infra- tively short life. Equipment suppliers may also prefer to structure. Competition usually ensures infrastructure choices become service providers in countries where they are not the and the most efficient allocation when capital is scarce. dominant equipment provider to the local PTO, SO avoiding competition with