Sources inform ''Globes'' that Bezeq International Ltd., the international calls and internet service provider (ISP) subsidiary of Bezeq Israeli Telecommunication Co. Ltd. (TASE: BEZQ) will provide HOT Telecommunication Systems Ltd. (TASE: HOT) mobile subsidiary Mirs Communications Ltd. with its international calls platform. The move expands the collaboration between Bezeq and HOT, after Bezeq's mobile subsidiary Pelephone Communications Ltd. signed a deal for Mirs to use its national roaming network for the latter's new mobile network.
The new deal means that Mirs' subscribers making international calls will use Bezeq International's infrastructures and links to foreign operators. Bezeq International owns a high-capacity undersea communications cable, and it is seeking to sell overseas lines, of which it has plenty.
The sources added that Bezeq and HOT discussed HOT's purchase of international capacity as part of the launch of its internet, following its launch of HOT.net ISP operations. HOT.net will undoubtedly need to expand in international internet capacity.
The Bezeq-HOT collaboration is raising hackles, as they are Israel's only two companies with full-service telecommunications networks: TV, telephony, internet, infrastructures, transmission, and ISP. The two companies are also in talks for continued joint use of land-based infrastructures, which seems strengthen the powerhouses in the telecommunications market, rather than break them up.
Many HOT infrastructures already use Bezeq infrastructures. As part of HOT's upgrade, it is seeking Bezeq's consent to carry out contracting work, which will provide access to HOT's network. At the same time, Bezeq believes that the opening of infrastructures to HOT will allow it to upgrade its own infrastrucutres.
Published by Globes [online], Israel business news - www.globes-online.com - on May 13, 2012
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