Interconnect fee to drop by 2013

The final fee is somewhat higher than first proposed, due to mobile firms' pressure.

The final figure for inter-network connectivity fees will apparently be NIS 0.05 at the end of 2013, 80% less than the current rate. The new fee will apparently be one of the lowest connectivity fees in the world. The connectivity fee is expected to fall to around NIS 0.10 soon.

The NIS 0.05 connectivity fee is a compromise by the Ministry of Communications, as it originally proposed an immediate reduction in the fee to NIS 0.0414. The ministry apparently comprised under heavy pressure from the mobile carriers.

The Ministry of Communications said, "The work of NERA Economic Consulting is not yet over, and the minister will only receive its recommendations in a few days. The Ministry of Communications cannot therefore comment on the matter at this time."

Published by Globes [online], Israel business news - www.globes-online.com - on August 5, 2010

© Copyright of Globes Publisher Itonut (1983) Ltd. 2010

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