Cellcom updates network sharing deal with Golan; reaches passive infrastructure agreement with Pelephone

22 Sep 2014

Israeli mobile network operator Cellcom has announced that it has updated an existing 2G/3G indefeasible rights of use (IRU) agreement and 4G network sharing agreement with rival Golan Telecom. With the revised agreements valid for a ten-year period, they include ‘stipulations as to ownership and mutual IRU rights in the 4G radio equipment as well as the establishment of a joint venture for the joint operation of the 4G radio network’. The updated agreements remain subject to regulatory approvals, Cellcom noted, adding that if approved it expects its revenues from Golan to be at annual levels similar to those recorded in 2013 and 2014 for the duration of the agreements.

Meanwhile, Cellcom has also confirmed that it has entered into a cooperation agreement with another rival – Pelephone – related to maintenance services for passive elements of cell sites, including unifying passive elements and streamlining costs, through a common contractor. It said that the contractor to be selected by RFP process will enter into separate agreements with each of the cellcos, for a period of at least five years. Again, this agreement remains subject to regulatory approval.

Israel, Cellcom, Golan Telecom, Pelephone