Israel’s Cellcom Will Provide TV Over Internet

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cellcom-offers-tv-over-internet
courtesy www.businessweek.com

Reuters reports that Cellcom, Israel’s largest mobile phone operator, is looking for a new source of revenue due to a competition heavy market. They will begin to offer television over internet, effectively bringing competition to cable companies and possibly better prices to consumers. Currently there are two cable companies that service the region, HOT and YES. Cellcom’s dive into television provider is sure to shake up the big two.

Reuters

The move comes as Israel’s Communications Ministry has encouraged Cellcom and its chief rival, Partner Communications, to enter the so-called Over the Top TV market to provide competition and lower costs to consumers.

“Entering a new and penetrated market will require investment and additional operating expenses in order to yield future revenues,” Nir Sztern, Cellcom’s chief executive, said without elaborating.

The move comes as Israel’s Communications Ministry has encouraged Cellcom and its chief rival, Partner Communications, to enter the so-called Over the Top TV market to provide competition and lower costs to consumers.

“The company’s OTT TV services are synergetic and complementary to the company’s core business and shall help in retention of customers,” he said.

Israel’s mobile phone industry was shaken up in 2012 with the entry of six new operators, sparking a price war that led to steep drops in subscribers, revenue and profit at Cellcom, Partner and Bezeq unit Pelephone.

Commentary

This makes me wonder if mobile service providers in the States could make a similar move, providing the “powers that be” allow such a thing. I’d love to see T-Mobile provide my television service effectively cutting Comcast out of my monthly bill. I’m not certain this would be possible here at all but one can sure dream that it could happen. What do you think? Let us know in the comments below or on Google Plus, Facebook or Twitter. Links to our social media are located to the left of your screen.

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Source: Reuters

 

 

Last Updated on November 27, 2018.

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