<b>Research Note</b>—Codiffusion of Wireless Voice and Data Services: An Empirical Analysis of the Japanese Mobile Telecommunications Market

Authors: Niculescu, Marius F.; Whang, Seungjin

Journal: Information Systems Research (2012)

DOI: 10.1287/isre.1100.0346

<jats:p> Wireless telecommunications have become over time a ubiquitous tool that not only sustains our increasing need for flexibility and efficiency, but also provides new ways to access and experience both utilitarian and hedonic information goods and services. This paper explores the parallel market evolution of the two main categories of wireless services—voice and data—in leading technology markets, inspecting the differences and complex interactions between the associated adoption processes. We propose a model that addresses specific individual characteristics of these two services and the stand-alone/add-on relationship between them. In particular, we acknowledge the distinction between the nonoverlapping classes of basic consumers, who only subscribe to voice plans, and sophisticated consumers, who adopt both services. We also account for the fact that, unlike voice services, data services rapidly evolved over time due to factors such as interface improvement, gradual technological advances in data transmission speed and security, and the increase in volume and diversity of the content and services ported to mobile Internet. Moreover, we consider the time gap between the…

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