Three Israeli Networks to Share Network Infrastructure
Published on: 10th Dec 2013
Three of Israel's mobile networks have jointly announced plans to share their radio infrastructure.
Cellcom also signed a separate agreement with Pelephone for the sharing of passive elements of cell sites for existing networks and an Indefeasible Right of Use ("IRU") agreement with Golan, regarding Cellcom's existing 2G and 3G radio networks.
Cellcom's CEO Nir Sztern said: "The Israeli cellular market will face continued challenges in the coming years to deliver the demand growth for cellular data. The agreements will enable multiple players the ability to compete and offer cutting edge services while investing in infrastructure. The network sharing agreements will help reduce the number of cell sites and the reduced cost will help maintain competition to the benefit of the Israeli consumer."
4G radio network
The three operators will cooperate in obtaining frequencies for the 4G network. The 4G radio network is to be constructed and operated by a separate, newly created entity that will be equally owned by Cellcom and Pelephone and overseen by a steering committee comprised of representatives of all three operators and which shall make the strategic decisions regarding the 4G network by majority vote. Each operator will be required to purchase and operate its own core network. Costs shall generally be divided equally among the three operators, subject to certain conditions and limitations set in the agreement.
Passive cell site sharing
The newly created entity, equally owned by Cellcom and Pelephone, will manage and maintain all of the passive elements of cell sites and unify passive elements of cell sites currently used for the 2G and 3G networks and will also manage and maintain the radio networks for a period of at least fifteen years.
2G and 3G IRU
Golan will be granted aright of use to Cellcom's 2G and 3G radio network, which will be replacing Golan's current national roaming agreement with Cellcom. Golan shall continue to operate its own core network.
All the agreements are still subject to regulatory approval.