مجموعة الاتصلات » golan

Ministry nixes Cellcom-Golan network merger

ola — Tue, 31 Mar 2015 07:46:16 +0000

The Ministry of Communications does not want to

release Golan Telecom from its investment

obligations.

The networks consolidation agreement between Cellcom Israel Ltd.(NYSE:CEL; TASE:CEL) and Golan Telecom Ltd. is in trouble, with the Ministry of Communications demanding changes in it. The Ministry sent a letter to the two companies last Thursday notifying them that the agreement did not conform to its policy document concerning consolidation of networks, and the company would therefore have to make changes in their agreement.

This is the second time that the Ministry of Communications has intervened in an agreement that runs counter to its policy. The agreement between the two companies attempted to meet the Ministry’s requirements, but the Ministry apparently did not accept the fact that the venture releases Golan Telecom from the obligations imposed on it as part of its selection in the 3G tender when it entered the market, and focuses excessively on the 4G network. The Ministry of Communications is demanding that the networks consolidation agreement between the companies prove that Golan Telecom is bearing the burden of the investments required of it for the 3G network, as well as the 4G network.

Like HOT Mobile Ltd., Golan Telecom undertook to set up a 3G network as part of winning the frequencies tender in 2011, when it entered the market. For various reasons, the companies had a great deal of difficulty in meeting the obligation to set up the network, but in general, the Ministry of Communications also realized that at the current time, this task could not be accomplished, due to the difficulty in establishing sites.

Outgoing Minister of Communications Gilad Erdan initiated the constriction and consolidation of networks, aimed at making it possible to establish only three networks in Israel, with ownership divided among the operators. In other words, Golan Telecom and Hot Mobile will have to convert the investment in 3G that they undertook into investment in 4G in the form of a joint network owned in equal shares together with the veteran operators.

In practice, the agreement that released the two new companies from their obligation to set up a 3G network is very generous to them; it enables them to substantially reduce the investment required of them, and to convert it to into a generous and broad consolidation agreement with the veteran operators.

The agreement between Hot Mobile andPartner Communications Ltd. (Nasdaq:PTNR; TASE: PTNR) is very close to gaining approval, but it turns out that the Ministry of Communications believes that the agreement between Golan Telecom and Cellcom needs changes, because in the Ministry’s opinion, the agreement does not really convert Golan Telecom’s 3G investment into a joint 4G network, and the Ministry is therefore demanded that the agreement be revised to take this into account.

Keep in mind that the main complaint against Golan Telecom is that the company is in effect becoming a virtual operator on the Cellcom network, and that the Ministry of Communications is thereby releasing Golan Telecom from the obligations imposed on it as a full cellular operator that maintains and operates a network. The chief criticism of the Ministry is that it is allowing Golan Telecom to plow into the market without the burden of investment and setting a network, with all the resulting consequences, thereby enabling the company to sell cellular services at such low prices and imperil the veteran companies.

Published by Globes [online], Israel business news - www.globes-online.com - on March 29, 2015

Hot Mobile, Golan Telecom end special offers

ola — Wed, 04 Feb 2015 08:48:52 +0000

The veteran cellular operators’ shares responded with a surge.

Hot Mobile Ltd.) and Golan Telecom Ltd. have decided on a “ceasefire” in the cellular market price war. They have ended their recent new bargains that led tens of thousands of subscribers to abandon the veteran companies and switch to the newer ones.

In January, Hot Mobile offered a “couples bargain”, in which the company sold two lines for NIS 40 a month per cellular package for one year. Golan Telecom offered a second line for NIS 2 per month if the customer buys the first line for NIS 37, up to six lines. Both companies extended their bargains until last Thursday, in view of strong demand from customers, and completely halted the bargains at the beginning of this week.

As reported in “Globes” in mid-January, the two companies’ bargains shook up the market, with tens of thousands of subscribers switching from the veteran cellular companies to the two new players.

Now that the bargains have ended, the veteran companies’ shares have leaped upwards, with the Partner Communications Ltd. (Nasdaq: PTNR; TASE: PTNR) and Cellcom Israel Ltd. (NYSE:CEL; TASE:CEL) shares jumping up to 12.5%, after losing double-digit percentages of their value in recent months.

Published by Globes [online], Israel business news - www.globes-online.com - on February 3, 2015

Michael Golan: NIS 25 monthly package profitable

ola — Wed, 21 Jan 2015 08:32:14 +0000

The Golan Telecom CEO says his company is near profitability

and rivals Cellcom and Partner will remain large companies.

“Our new monthly package for the business sector is profitable,”Golan Telecom Ltd. CEO Michael Golan said today, following yesterday’s launch of the mobile carrier’s NIS 25 all included monthly business package, which has rocked an already volatile cellular market.

Golan told “IDF Radio” (Galei Zahal), “Two and a half years after launching operations in Israel, Golan Telecom is close to profitability – we are working strenuously and we are nearly there.”

Golan’s discount offers have shaken up Israel’s communications market and have affected the capital market where Cellcom Israel Ltd. (NYSE:CEL; TASE:CEL) and Partner Communications Ltd. (Nasdaq: PTNR; TASE:PTNR) saw their share prices fall 11.7% and 7.6% respectively yesterday, and both carriers have lose half their market cap over the past month, since a renewed price war has broken out, after Cellcom announced that it is entering the TV market.

Despite the extreme reaction of the market, Mochael Golan insists that the veteran companies have nothing “to worry” about. He said, “Cellcom and Partner generate cash flow of billions of shekels annually – and they’ll continue to be large and profitable.”

Golan launches 4G service for NIS 99 per month

ola — Thu, 18 Dec 2014 08:03:17 +0000

The plan includes 20GB of data, more than any other network

currently offers.

Golan Telecom Ltd. is launching 4G services for its customers today, with an added benefit for subscribers: a 20 GB data plan for customers who pay NIS 99 a month. This plan is unlike any other in the mobile market, and it is unlikely that the average customer reaches such usage levels, and unclear whether it is necessary, but it seems that Golan is trying to continue to create benefits for its customers in any way possible in order to differentiate itself and remain attractive to users.

Golan’s 4G customers, like its 3G customers, piggyback on the network of Cellcom Israel Ltd. (NYSE:CEL; TASE:CEL), after Golan almost completely dismantled all the cellular antennae it built. Golan signed a roaming agreement that includes Cellcom’s network, which means that wherever Cellcom has deployed its network (and wherever it deploys in the future), Golan customers will receive service.

Golan Telecom, like HOT Mobile Ltd., did not take frequencies from the Ministry of Communications in the temporary 5 megahertz early allocation offering. The only network that does not currently operate a 4G network is Hot Mobile. The temporary frequencies that were allocated to the veteran operators were intended to answer to the needs of Partner Communications Ltd.(Nasdaq: PTNR; TASE: PTNR), which needed frequencies because it began massive 4G network deployments before Pelephone Communications Ltd. and Cellcom entered the field. Partner sped up its 4G network deployment and needed 4G frequencies due to the frequency shortage. The Ministry of Communications did not want to give frequencies only to Partner, and therefore decided to temporarily allocate 5 megahertz to each operator until the 4G frequency tender, which is scheduled to take place in the coming weeks, is held.

Golan Telecom announced today that its 4G services will be launched for all Golan customers, on all plans. According to the company, the revolution announced today is the 20GB data plan on the 4G network, including those customers on the “All-Included International” plan, who will benefit from the improved package (for use in Israel only).

Published by Globes [online], Israel business news - www.globes-online.com - on December 17, 2014

Golan Telecom moves to counter WallaMobile

ola — Sun, 07 Dec 2014 08:51:16 +0000

Golan Telecom is increasing the volume of its cellular web

surfing from 2 giga to 3 giga, as provided by WallaMobile.

Golan Telecom Ltd. is making its initial response to the challenge posed by Walla!, which this week entered the mobile telephony market. Golan Telecom announced today that it was upgrading its surfing package to 3 gigabytes, as provided by theWallaMobile.

It is clear that Golan Telecom’s response is directly linked to concern that WallaMobile will succeed in cutting the number of new subscribers recruited by Golan Telecom. The company therefore decided to respond immediately by making its package terms equal to those of WallaMobile for Internet.

Starting today, Golan Telecom’s NIS 37 package will include 3 gigabyte of web surfing monthly, instead of 2 gigabytes up until now. The package includes unlimited calls and text messages, and offers a second line for NIS 18 (from the second to the fifth line – a total of six lines).

From now on, a NIS 9.90 package will include 100 call minutes a month to local and international destinations in 55 countries (instead of 60 minutes previously), 100-megabyte surfing (instead of 10 megabytes up until now), and unlimited text messages (unchanged).

The company announced it would increase the number of countries in the “All-in, including overseas,” plan.

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Cellcom and Golan Telecom seek joint 4G bid

ola — Sun, 14 Sep 2014 07:17:11 +0000

The 4G tender requires the companies to bid separately, even

though they have a network-sharing agreement.

Cellcom Israel Ltd. (NYSE:CEL; TASE:CEL) and Golan Telecom Ltd.have asked Minister of Communications Gilad Erdan and Minister of Finance Yair Lapid to be allowed to compete together in the 4G frequency tender, sources inform “Globes.” Cellcom and Golan are protesting that the terms of the 4G tender required them to compete separately, even though the two companies have a network-sharing agreement.

Cellcom and Golan’s request comes after the companies submitted their comments on the terms of the tender, and prior to final decisions being made. According to the current terms, the companies must enter separately, and they may not coordinate their positions, though the Ministry of Communications knows that the two companies have a network sharing agreement.

Because the companies must hold 20 MHz per network, a situation arises where they will be forced to pay much more separately. What is ultimately likely to happen is that they will be forced to return frequencies that they don’t need at all.

Prior approval of the submission of joint bids will create certainty, which will allow the companies to plan how many frequencies they need, and will create relevant competition with the other participants as well. The companies claim that if they will need to return extra frequencies (because each carrier may not have more than 20 MHz), and what will happen is that there will be repeat competition over the extra frequencies that are returned. This will harm the tender participants who did not win, because they will then be forced to pay higher rates than those who won in the tender, as the number of frequencies will be limited.

Because of the unreasonable nature of the terms, the companies believe that the matter will not pass the judicial test, and have asked that they be given the option of meeting the ministers in order to explain the importance of the matter to them.

The tender is expected to be held in November-December of this year.

Published by Globes [online], Israel business news - www.globes-online.com - on September 11, 2014

Golan Telecom draws most net subscribers in August

ola — Tue, 02 Sep 2014 07:01:32 +0000

Pelephone continues to have a positive churn rate while Partner

was the biggest loser.

The absence of any impediment to moving between mobile phone operators allows consumers to choose the best deal in the market, and they don’t hesitate to transfer allegiances month after month, as August’s figures show. Some 200-250,000 Israelis moved between companies last month. Many other consumers made do with revising the amount they pay after comparing prices with rival companies.

In August, Golan Telecom Ltd. was in top place in terms of competition between the mobile operators. Golan Telecom recruited almost double that of the other new player in the market Hot Mobile Ltd.. Golan’s success in August was probably due to its second line for NIS 18 per month offer.

In fact Hot recruited more subscribers than Golan but as always its problem is the number that leave meaning that Golan ended the month victorious in terms of net gains.

Among the veteran mobile operators Partner Communications Ltd. (Nasdaq: PTNR; TASE:PTNR) lost most subscribers while Pelephone Communications Ltd. gained subscribers during August for the second-straight month.

Partner suffered for two reasons. The changeover to a new technology disrupted its recruitment drive in the middle of the month. The company also suffers from fictitious recruitment with thousands of SIM cards that were not used for a single call raising the suspicion that marketing staff were mounting fictitious operation to take advantage of benefits offered to new subscribers.

Pelephone’s success is due to an intensive attack on Hot’s subscribers – in other words a personal approach and tempting offer.

Cellcom and Golan sign network sharing agreement

ola — Tue, 27 May 2014 07:13:59 +0000

This follows Antitrust Authority approval of Partner and

Hot’s sharing agreement.

Mobile operators Cellcom Israel Ltd. (NYSE:CEL; TASE:CEL) and Golan Telecom Ltd. last night signed a network sharing agreement. Since its inception, Golan has used Cellcom’s nationwide network to provide its services but the new agreement sees network sharing in the full sense of the term and for all technologies: 2G, 3G, and 4G.

The significance of the agreement is that Golan Telecom will only have wireless operations and will not own antennas. In effect, from now on Golan Telecom will be a kind of MVNO virtual operator plus frequencies.

The agreement between the two operators was formulated in the wake of the publication of the Ministry of Communications’ policies and approval of the merger between Partner Communications Ltd. (Nasdaq: PTNR; TASE: PTNR) and HOT Mobile Ltd. by the Antitrust Authority.

Golan Telecom offers NIS 35 monthly plan

ola — Mon, 31 Mar 2014 06:22:09 +0000

The plan expires in December when the price will rise to

NIS 99 per month.

Golan Telecom Ltd. today announced a new NIS 35 monthly plan through December 25. The new plan for the Passover holiday offers unlimited calls and SMS, and 1 gigabyte of Internet access.

When the Golan Telecom All Inclusive plan expires on December 25, the price will rise to NIS 99 per month, including calls and SMS, overseas calls to 55 landline and mobile numbers in Canada and the US, and 6 gigabyte of Internet access.

Golan Telecom said that the new plan is valid for both new and current customers. The deadline for adding a new line is noon on April 27. Current customers will pay a one-time fee of NIS 49 for joining the plan.

Published by Globes [online], Israel business news - www.globes-online.com - on March 30, 2014

Golan Telecom: Higher prices without fewer networks

ola — Thu, 20 Feb 2014 08:03:17 +0000

Michael Golan: Three mobile networks will raise costs

compared with two networks.

If the Ministry of Communications does not allow the consolidation of mobile networks to two, the result will be higher prices not only for 4G, but also for 3G, Golan Telecom Ltd. owner Michael Golan warned Minister of Communications Gilad Erdan during a visit to the carrier’s offices in Tel Aviv on Tuesday.

Sources at the meeting said that Golan told the Ministry of Communications officials that three mobile networks would increase set-up costs compared with two networks, and the carriers would not be able to maintain the current low prices.

Golan Telecom has signed an agreement to establish a joint 4G network and passive 3G site sharing with Pelephone Communications Ltd. and Cellcom Israel Ltd. (NYSE:CEL; TASE:CEL). The Ministry of Communications and the Antitrust Authority have to approve the agreement.

Michael Golan said that his company has met all its license conditions and that its investment in coverage, either by building antennas or purchasing coverage and inland roaming services from other carriers, does not contravene the license. He said that the investment in roaming services and 4G under the agreement with Pelephone and Cellcom was proof that the investment met the Ministry of Communications’ conditions.