Simulation Analysis of the Oligopoly Game in Telecommunications Industry and the Dynamic Pricing for 5G/6G Services

In this paper we consider a model of dynamic pricing in the 5G/6G telecommunications market with incomplete competition and use the simulation analysis of dynamic pricing for 5G/6G services in case when there is the oligopoly game in telecommunications industry. We consider network services pricing in 5G/6G telecommunications with multi-period technology diffusion model. The time path of 5G/6G telecommunication market demand, the price dynamics, the social surplus and the company profits, when the telecommunication companies implement new technologies, are studied. The relationship between users, the telecommunication companies and the telecommunication services costs for new 5G/6G technologies are investigated. The telecommunication industry equilibrium is considered with free telecommunication market entry and exit. We study the optimal multi-period dynamics of the telecommunication companies’ profits for the case when the companies implements 5G/6G innovations using research and development (R &D). We analyze R &D expenditure on the services and the innovation process of 5G/6G technology, assuming a different number of the telecommunication companies undertaking R &D. We study the multi-period diffusion model of 5G/6G technology in the telecommunications market and also investigate the stability of this process depending on the number of companies that are present on the market. © 2023, The Author(s), under exclusive license to Springer Nature Switzerland AG.