Synopsis

In 2016 Israel boasts high broadband penetration. Services are accessible via ADSL, cable, and fibre optic platforms. Increasing availability of fibre due to capital expenditure has resulted in increased average speeds. There are two other competing infrastructures – the DSL network of fixed-line incumbent Bezeq and the digital cable network of HOT. ADSL is the leading infrastructure. Both Bezeq and HOT are subject to broadband universal service obligations. This has resulted in broadband being available to 99% of all households.

Israel has developed worldwide recognition has a premier location for start-up incubation and a number of innovations have emerged from the country over the past few years. Interest in tech start-ups is still a key growth area for Israel with the US and China in particular setting up and investing in various research labs and solutions. The start-up sector is fuelling digital economy and digital media developments in Israel.

Key developments:

In 2016 Bezeq is embarking on a large G.fast network access deployment for its fixed broadband network; Competition a increased in 2015 with the introduction of wholesale infrastructure rental arrangements to allow competitors to offer fixed services; Israel’s Antitrust Authority gave Bezeq conditional permission to merge with its satellite TV affiliate YES; the existing structural separation between fixed-line network operators and their ISPs and international telephony affiliates is being replaced with accounting separation; the Israel Broadband Company (IBC) has launched a superfast internet service under the brand name Unlimited.

Companies mentioned in this report:

ADTRAN, Bezeq, Bezeq International, HOT Telecom, 013 Netvision, 012 Smile Telecom, Xfone 018/Marathon Telecom, Israel Broadband Company, AMOS, Walla!, Nana 10, Yes TV.