recommendation: to reduce to 40% the deployment of the the fiber-optic project

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by Ifi Reporter Category:Hitech May 28, 2018

The Ministry of Communications issued a hearing to amend the universal deployment requirement of the fiber-optic project, in which it recommends reducing the deployment requirement to only 40%. The change is due to the apparently unfeasible economic reasons for the nationwide deployment of the fiber optic project. The decision was made following an examination conducted by the Ministry of Communications.
 At the end of 10 years from the date of the license amendment, the project operators will be required to deploy the fiber network to 40% of the households, and this is more than one million households. The milestones for the planned deployment will be determined later on. The equitable distribution of households in the periphery to the center will be maintained. It will take effect three years after the amendment of Enlightified's license in order to increase the Company's competitiveness in the short term and to establish its operations.
The Ministry of Communications believes that the continued deployment of the fiber over the IEC infrastructure is essential for competition in the communications market. This is in order to reduce the price of the consumer, upgrade the communications infrastructure through the fiber project, and upgrade the existing communications infrastructure of HOT and Bezeq.
The fiber project was established with the aim of establishing a third fixed-line communications infrastructure, of the Internet. The company invested about NIS 450 million in the company, and it is estimated that the project will require an investment of NIS 3 billion in order to reach the required deployment rate by the Ministry of Communications
Cellcom, which has found that the current model is not economically viable, and the conditions required for it to save the project is to reduce the deployment rate to 40%

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