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The scarlet thread running through recent regulation developments in the Israeli
telecommunications market is of bureaucracy relief, investment in telecommunications
infrastructure and encouragement of competition. As such, it presents attractive
opportunities and a fertile ground for potential and recurrent investors, including foreign
investorswhoare lookingtoestablisha foothold inthe Israeli telecommunicationssphere.
In this context, we are pleased to highlight, in a nutshell, several recent developments in
the Israeli telecommunications market.
Bureaucracy Relief and Regulatory Coherence and Efficiency
Re-evaluation of the Israeli Broadcasting Regulation
In October 2015, the Israeli Prime Minister, who also acts as the Minister of
Communications, established the Advisory Committee for Regulation of Audiovisual
Services (the "Filber Committee"). The Filber Committee’s aim was to recommend a
new regulatory framework for broadcasting, with an eye towards encouraging the
entrance of new "players" into the Israeli broadcasting market, increasing competition,
and deregulation as competition increases.
In June 2016, the Filber Committee submitted its final report consisting of conclusions
and recommendations, among them the following:
• Implementing differentiated regulation on the basis of the "size/seniority" of the
audio-visual content provider, and on the basis of such provider's market share out of
the revenues of small and material providers (as defined in the recommendations).
Accordingly, an audio-visual provider offering services mainly for an Israeli audience,
andwith amarket share of at least 10%of such revenues, shall be subject, for a limited
“protection period,” to “narrow regulation.” This would include limited obligations
regarding, among other factors, content classification and cross-ownership. Once
Seizing Current
Opportunities in the
Israeli Telecommunications
Market
It seems as such, to the extent the Filber Committee report will be adopted
by the Israeli Ministry of Communication (“MoC”), that the Committee’s
recommendations present a singular opportunity for new players, looking to
enter the Israeli audio-visual market as small content providers, and benefit
from a “narrow regulation” regime.