5.3.2 To license or to exempt?The regulatory goals being pursued have a direct bearing on the licensing approach that is adopted. Previously, regulators employed rigid service- and technology-specific licences that were often installed as an administrative catchment for revenue. Regulators now are encouraged to adopt more flexible licensing regimes, in order to accommodate technological and market changes. The convergence achieved within the digital ecosystem has eroded bright lines in the traditional licensing regimes, requiring a move away from technology- and service-specific licences and toward a unified authorization regime, or even to simple notifications, to promote the ease of doing business.20 The licence or notification is retained to maintain regulatory accountability without being a barrier to new innovations. Maintaining the traditional licensing regime, meanwhile, would require an MNO not only to obtain a licence to operate mobile services, but also a value-added services licence for each and every m-service and app operating on its network. Having to obtain licences from healthcare, education, financial and agricultural regulators, among others, would not only be highly cumbersome, it would severely restrict the diffusion of m-services and apps. Regulators, therefore, need to review regularly their licensing practices and approaches with a focus on identifying and removing potential barriers.5.3.3 Competition for consumer benefit New technical capabilities made possible by IP‐based broadband networks have given rise to new entrants competing in traditional markets. They bring new business models and completely diferent cost structures than traditional providers employ. New technologies and upgraded networks also have enabled the introduction of a wide variety of new services and applications. What are the impacts of these changes on the competitive environment? The emerging scenario introduces regulatory complexity and the need to address several principles that are critical in promotion of competition.21 These questions are particularly valid in a market with dominant operators that can skew the market and abuse their dominant positions, to the detriment of their competitors and customer bases. As mobile markets continue to become more competitive, regulators should be alert for the many ways in which dominant operators can engage in anticompetitive behavior (e.g., predatory pricing, cross-subsidization, price 130 Trends in Telecommunication Reform 2016 Figure 5.1: Regulatory Goals Regulation Not End in Itself Why Regulate?- Avoid market failure - Ensure consumer interests are protected - Safeguards to create effective competition - Prevent anti-competitive practices End Goal - Efective and robust competition - Protect consumers - Widespread access to networks and service Withdraw or Amend Regulations On a regular basis, conduct market reviews to withdraw or amend regulations once effective competition in the relevant market exists or the rules are no longer warranted Source: Telecommunications Management Group, Inc.