Israeli mobile network operator Cellcom has announced that, on the back of the network sharing policy recently published by the country’s communications minister, it has entered into an infrastructure sharing deal with Golan Telecom. Under the terms of the agreement Golan will be provided an Indefeasible Right of Use (IRU) to Cellcom’s to-be-deployed 4G radio network for at least five years and nine months, and for as long as it is used by Cellcom. Both operators will provide the spectrum required for the operation of the 4G radio network, while each will purchase and operate their own core network.
With this latest agreement following up on the December 2013 deal between the two operators for a separate IRU agreement related to Cellcom’s 2G and 3G radio networks, Cellcom has said it expects the annual revenues generated by both agreements to be ‘at a similar level to those generated from the parties’ existing national roaming agreement in 2013’. In addition, it has said that as it continues its efforts at further network sharing, including the sharing of passive elements of cell sites for existing networks, it aims to generate future savings in both operating expenses and capital expenditures.
Both the 2G/3G and 4G network sharing agreements remain subject to approval by both the Antirust Commissioner and Ministry of Communications, however.