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 Monday, July 21, 2008

Heavy regulation can suffocate businesses. Just ask any American firm that operates under the Sarbanes-Oxley Act.

This is not to say that the market should be left to its own devices, but some governments go above and beyond the call of duty.

The Israeli Ministry of Communications continues to aggressively target its wireless industry with the intention of increasing competition between the major players, including the largest, Cellcom Israel CEL, to benefit the nation's consumers.

Cellcom was established in 1994 and went public last year. Today, it provides cellular service to roughly 3.09 million subscribers, up 23,000 from a year ago.

The firm's estimated 34% share of the market is only slightly higher than that of rivals Partner Communications PTNR and Pelephone.

Government over-regulation remains the biggest challenge facing all three competitors.

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Source: Cellular News.