Bezeq intends to deploy fiber optics for 80% of the households in Israel within six years

Bezeq reported to the stock exchange tonight (Tuesday) that it intends to deploy fiber optics for 80% of households in Israel - within 6 years. The Ministry of Communications, which formulated the fiber outline, managed to push the most significant player in the market after years in which Bezeq refrained from deploying fiber optics and connecting homes to high-speed Internet infrastructure. The company - which has invested hundreds of millions of shekels in the project to date - has reported that it intends to continue investing another billions of shekels in it.
Bezeq's goal, which it announced at the launch of the project less than two months ago, is to reach one million households by the end of 2021 - which is 40% of households in Israel. The company is expected to publish on May 31 the list of localities in which it will deploy the fiber optics. According to the company's CEO, Dudu Mizrahi, in the first year the retirement will include about 90 localities throughout Israel - in the central and peripheral areas. Moreover, the retirement will also take place in detached houses and not only in saturated construction.
Bezeq's entry into the fiber-optic market is a significant line for consumers who for years have seen how in the world the deployment of ultra-high-speed Internet infrastructure is already being realized, while Israel has been relatively delayed in doing so. The first to retire fiber in Israel was Partner, followed by IBC-Unlimited (which includes Cellcom's fiber infrastructure and recently HOT also entered the arena). Both companies have reached several hundred thousand households however mainly in areas of saturated construction with economic viability. Bezeq's entry should also serve as an incentive for competitors to increase gear in retirement in other areas and to compete with consumers.
Bezeq delayed the deployment of the fibers and the connection of the houses due to the universal obligation - that is, the state's requirement for the company to retire to all the houses in Israel - even in economically unprofitable areas such as remote areas and private houses. The fiber outline stated that Bezeq could choose the areas in which it would retire, and in those that did not, a fund would be established to finance the retirement. The Universal Service Fund will be financed by the communications companies, including Bezeq, at a rate of 0.5% of the revenues of all the companies. Following Bezeq's announcement of the selected areas, funding for the retirement of 20% of the remaining localities will be received from this fund.