Cellcom (Israel)

Cellcom is an Israeli telecommunications company established in 1994 and headquartered in Netanya. Its principal business is wireless communications, but its service portfolio also includes fixed-line telephony, internet access, television, international calling, and related communications services. The company is listed on the Tel Aviv Stock Exchange under the symbol CEL and has been included in the TA-35 index. Cellcom entered a market that had previously been dominated by Pelephone, then Israel's cellular monopoly. Its launch changed the competitive structure of Israeli mobile communications by offering cellular service at prices substantially below those associated with the incumbent operator. The company therefore became one of the central forces in the expansion and mass adoption of mobile communications in Israel. Its early growth was accompanied by technical difficulties: in 1995, a widespread service disruption affecting subscribers was eventually attributed to a software defect in Motorola MicroTAC Alpha handsets widely used on Cellcom's network. The company initially operated a nationwide TDMA network in the 850 MHz band. It later added GSM services after obtaining GSM-1800 frequencies and subsequently sought to transition spectrum and network resources toward GSM and newer standards. Regulatory and technical objections from competitors affected its efforts to use lower-frequency GSM spectrum, which could have provided advantages in indoor coverage and cell reach. Cellcom continued upgrading its network, deploying a nationwide UMTS 2100 MHz third-generation network from 2006, reaching more than 87 percent population coverage by the end of 2007 according to the cited historical material. It also introduced Israel's first demonstrated mobile video call and became the country's first operator to launch a nationwide HSDPA, or 3.5G, network. As older TDMA usage declined, Cellcom began deploying UMTS services in the 850 MHz band in 2011. Israel's Ministry of Communications approved the closure of the TDMA-850 network at the end of that year. In August 2014, Cellcom launched LTE service using the 1800 MHz band. The company currently operates a 5G network shared with Golan Telecom, WeCom, and Walla Mobile. Its broader communications offerings include Cellcom TV, an IPTV landline service, international calling through the 013 service, and other household and business connectivity products. Cellcom has also acted as one of the billing agencies for electricity services in Israel. Cellcom has periodically faced public controversy. A 2009 advertisement showing Israel Defense Forces soldiers playing football across the Israeli West Bank barrier was criticized by Arab-Israeli politician Ahmad Tibi, who called for its withdrawal. A nationwide outage on 1 December 2010 disrupted service and affected the company's fourth-quarter results; Cellcom announced compensation equivalent to one week of calls and messages, although reporting cited in the reference material questioned whether customers actually received the promised refund. In May 2021, the company temporarily stopped operations for an hour as an expression of support for Jewish-Arab coexistence and solidarity with Palestinians. The action generated a strong customer backlash, including reports of many cancellations. Cellcom has also been included in international scrutiny concerning business activity connected with Israeli settlements. In February 2020, the United Nations published a database identifying 112 companies it said were involved in activities linked to the maintenance and development of Israeli settlements in the West Bank, East Jerusalem, and the occupied Golan Heights. Cellcom was listed in connection with the provision of services and utilities supporting settlements and the use of natural resources for business purposes. In July 2021, Norway's KLP pension fund announced that it would divest from Cellcom and other companies named in relation to the UN datab…

Cellcom was founded in Israel in 1994 as the country's cellular market was beginning to move beyond its original monopoly structure. Before Cellcom entered the market, Pelephone held a dominant monopoly position in cellular services. Cellcom's arrival introduced a lower-cost alternative and helped make mobile communications more broadly accessible. Its competitive entry is commonly described as a turning point in Israeli telecommunications because it placed pricing pressure on the incumbent and accelerated consumer adoption. The company's first years were not free of technical problems. In 1995, Cellcom subscribers experienced widespread service interruptions. An investigation ultimately attributed the issue to a software defect in Motorola MicroTAC Alpha handsets, which were then widely used by Cellcom customers. The episode illustrated the operational challenges associated with building a mass-market cellular network and supporting a rapidly expanding handset base. Cellcom initially operated a nationwide TDMA network in the 850 MHz band. It later won tenders for GSM-1800 frequencies and began offering GSM services. The company sought to replace or repurpose its 850 MHz TDMA spectrum with GSM service in the 900 MHz range. Pelephone and Partner petitioned Israel's Ministry of Communications against the proposal on technical grounds. The dispute left Cellcom at a disadvantage relative to the potential coverage benefits of lower-frequency GSM service, including improved indoor penetration and longer cell reach. By 2011, the number of remaining TDMA customers had fallen substantially, allowing Cellcom to use previously underutilized 850 MHz capacity for UMTS services. The ministry approved the retirement of the TDMA-850 network at the end of 2011. The move into third-generation services expanded Cellcom's data and multimedia capabilities. Beginning in 2006, the company deployed a nationwide UMTS network using the 2100 MHz band. Historical reporting states that the network covered more than 87 percent of Israel's population by the end of 2007. Cellcom demonstrated Israel's first mobile video call and became the first Israeli operator to launch a nationwide HSDPA network, sometimes described as 3.5G. These developments positioned the company not only as a voice provider but also as a mobile data and multimedia operator. In August 2014, Cellcom launched LTE service in the 1800 MHz band. Its business subsequently broadened beyond mobile access. The company operates Cellcom TV, an over-the-top television service, as well as IPTel fixed-line service and 013 international dialing. It also provides internet access and other household and business communications services. Cellcom has additionally acted as one of Israel's electricity-billing agencies. In the current network environment described by the reference material, Cellcom operates a 5G network shared with Golan Telecom, WeCom, and Walla Mobile. Cellcom's public history includes several controversies. In 2009, an advertising campaign showing Israel Defense Forces soldiers playing football over the Israeli West Bank barrier was criticized by Ahmad Tibi, an Arab-Israeli member of the Knesset, who demanded that the commercial be withdrawn. On 1 December 2010, a nationwide outage disrupted service and affected fourth-quarter performance. Cellcom announced a refund equivalent to one week of calls and messages, but reporting later cited doubts about whether customers received the compensation. On 18 May 2021, during a period of heightened Jewish-Arab tensions, Cellcom suspended its operations for one hour as a gesture supporting Jewish-Arab coexistence and solidarity with Palestinians. The move led to a customer backlash, including reports of many cancellations. Cellcom was also named in a United Nations database published in February 2020 concerning 112 companies allegedly involved in activities connected with Israeli settlements in the West Bank, East Jerusalem, and the occupied Golan Heights. The database cited provision of services and utilities supporting the maintenance and existence of settlements and business use of natural resources. In July 2021, Norway's KLP pension fund said it would divest from Cellcom and other companies listed in connection with the UN findings.

1. 2021One-hour service suspension for coexistence

   Cellcom temporarily suspends operations to express support for Jewish-Arab coexistence and solidarity with Palestinians.

   Source
2. 2020United Nations database includes Cellcom

   The UN publishes a database that includes Cellcom among companies it associates with settlement-related business activity.

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3. 2014LTE service launches

   Cellcom launches LTE service using the 1800 MHz band.

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4. 2011UMTS expansion and TDMA retirement plan

   Cellcom deploys UMTS in the 850 MHz band, while the Ministry of Communications approves closure of its legacy TDMA-850 service.

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5. 2010Nationwide service outage

   A 1 December outage affects customers and leads Cellcom to announce service compensation.

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6. 2009Advertising campaign triggers political criticism

   A commercial using imagery of soldiers and the West Bank barrier is criticized by Ahmad Tibi.

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7. 2007HSDPA network reaches nationwide launch

   Cellcom becomes the first Israeli operator to launch a nationwide HSDPA, or 3.5G, network.

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8. 2006Nationwide UMTS deployment begins

   Cellcom begins deploying a nationwide 3G UMTS-2100 network and demonstrates Israel's first mobile video call.

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9. 1995Major subscriber disruption traced to handset software

   A widespread service problem is ultimately attributed to a software bug in Motorola MicroTAC Alpha phones used on the network.

   Source
10. 1994Cellcom is founded and enters Israel's cellular market

    Cellcom launches as a new competitor to the previously dominant Pelephone, introducing lower-priced cellular service.

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A broad Israeli communications provider combining mobile connectivity with household broadband, television, fixed-line, international calling, and related digital services.

• Cellcom mobile servicesMobile telecommunications1994

  Cellcom's core business is wireless communications in Israel. The service has evolved from the company's original nationwide TDMA network through GSM, UMTS, HSDPA, LTE, and 5G generations. Mobile offerings include voice, messaging, and data connectivity, with the company serving consumer and business subscribers.

• Cellcom 5GMobile network

  Cellcom operates a 5G network in Israel. The cited reference describes the network as shared with Golan Telecom, WeCom, and Walla Mobile, extending the company's mobile proposition toward higher-capacity and lower-latency data services.

• Cellcom TVTelevision and streaming

  Cellcom TV is the company's television offering, described in the reference material as an over-the-top service. It broadens Cellcom's role from a mobile operator into a provider of household entertainment and bundled communications services.

• IPTelFixed-line telephony

  IPTel is Cellcom's fixed-line telephone service. It forms part of the company's broader fixed communications portfolio alongside internet access and other household connectivity products.

• 013International calling

  013 is Cellcom's international dialing service. It supports international voice connectivity as a distinct service within the company's wider telecommunications portfolio.

• Cellcom internet servicesInternet and broadband

  Cellcom provides internet access and broadband connectivity for households and other customers. These services complement the operator's mobile, fixed-line, and television offerings and support bundled communications propositions.

• 2021Jewish-Arab coexistence service suspension

  Israel

  Cellcom suspended operations for one hour as a public gesture supporting Jewish-Arab coexistence and expressing solidarity with Palestinians.

  Outcome. The action triggered a customer backlash, with reports that many Israelis cancelled their Cellcom service.

  Source
• 2009Football across the barrier campaign

  Israel

  Cellcom broadcast an advertisement depicting Israel Defense Forces soldiers playing football across the Israeli West Bank barrier.

  Outcome. The campaign was criticized by Ahmad Tibi, who called for the commercial to be withdrawn. The available reference does not establish whether it was withdrawn.

  Source

• 2021Temporary suspension of operations for coexistenceStrategy

  During heightened Jewish-Arab tensions, Cellcom chose to make a public statement in support of coexistence and solidarity with Palestinians.

  What changed. The company stopped operations for one hour on 18 May.

  Aftermath. The decision generated significant criticism and reports of many customer cancellations.

  Source
• 2014LTE launch in the 1800 MHz bandProduct launch

  Following earlier GSM, UMTS, and HSDPA deployments, Cellcom continued its transition toward faster mobile data technologies.

  What changed. Cellcom launched an LTE network using the 1800 MHz band.

  Aftermath. LTE became part of the company's mobile network evolution before its later 5G operation.

  Source
• 2011Transition from TDMA to UMTS in the 850 MHz bandGeneration change

  Cellcom had largely migrated customers away from its legacy TDMA network, leaving capacity available in the 850 MHz range.

  What changed. The company began deploying UMTS services in the 850 MHz band, while the Ministry of Communications approved closure of the TDMA-850 network.

  Aftermath. The decision supported the modernization of Cellcom's radio network and the retirement of its older TDMA platform.

  Source

• 2021Backlash after coexistence statementControversy

  Cellcom's one-hour suspension of operations in support of Jewish-Arab coexistence and solidarity with Palestinians led to reports of widespread customer cancellations.

  Source
• 2020UN settlement-activity database listingControversy

  The United Nations included Cellcom in a database of companies associated with business activities linked to Israeli settlements in the West Bank, East Jerusalem, and the occupied Golan Heights.

  Source
• 2010Nationwide outage and disputed customer compensationControversy

  A nationwide outage disrupted service on 1 December. Cellcom announced compensation equivalent to one week's calls and messages, while reporting cited in the reference questioned whether subscribers actually received the refund.

  Source
• 2009Controversial West Bank barrier advertisementControversy

  A Cellcom commercial showing soldiers playing football across the West Bank barrier drew criticism from Arab-Israeli politician Ahmad Tibi, who demanded its withdrawal.

  Source

• 2014Cellcom launches LTE service

  Cellcom introduced LTE service in Israel using the 1800 MHz band.

  Product launchProduct generation
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• 2011Cellcom receives approval to close its TDMA-850 network

  Israel's Ministry of Communications approved Cellcom's plan to shut down its legacy TDMA-850 network as customers migrated to newer technologies.

  RegulationProduct generation
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• 2007Cellcom launches nationwide HSDPA network

  Cellcom became the first Israeli operator to launch a nationwide HSDPA network, marketed as a 3.5G service.

  Product launchProduct generation
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• 2006Cellcom demonstrates Israel's first mobile video call

  During the expansion of its third-generation network, Cellcom demonstrated the first mobile video call in Israel.

  Product launchProduct generation
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• 1995Software defect linked to widespread Cellcom handset disruption

  A broad service disruption affecting Cellcom subscribers was eventually traced to a software bug in Motorola MicroTAC Alpha handsets used extensively on the network.

  Other
  Source
• 1994Cellcom enters Israel's cellular market and challenges Pelephone's monopoly

  Cellcom's launch introduced a lower-priced cellular alternative and helped transform competition in Israel's mobile communications sector.

  Other
  Source

1. Cellcom (Israel)
2. Cellcom official website