Starting at the end of the first quarter of 2023, the telecommunications companies that provide internet on IBC’s fibers, such as Cellcom, HOT, Expon and 019, will be able to provide a service based on the new technology. The wholesale price of a 2.5 GB surfing package will be NIS 85 before VAT
IBC Unlimited announced today (Monday) that it is expected to launch a new fiber technology called XGS-PON. The new technology will allow browsing of up to 10 gigabytes, when for comparison the currently accepted speed in the market is 1 gigabyte. Bezeq and Partner also sell packages of up to 2.5 gigabytes, but it is less common.
IBC has deployed an optical fiber network in over a million households so far, and starting at the end of the first quarter of 2023, the telecommunications companies that provide internet on IBC’s fibers will be able to provide a service based on the new technology. At the end of the first quarter, the company is expected to deploy the technology in approximately 700,000 households.
The companies that provide internet on IBC’s fiber network are Cellcom, 019, HOT, Telzer, 018 Expon, 015 Hello, Ramon Internet, Amint and more. It can be estimated that Bezeq is also currently working to launch the new technology.
Following the announcement, the HOT company, which owns shares in the IBC company, opened the possibility of early registration for internet packages at high rates based on the new technology. Registration will only be possible for 1,000 customers in the first phase, and the company will start marketing the packages to the general public starting at the end of the first quarter of 2023.
The wholesale price of a surfing package of 2.5 GB upload and download will be 85 NIS before VAT, and the price of the package that will provide 5 GB upload and download will be 95 NIS before VAT. For the purpose of comparison, the wholesale price of the company’s 1 GB package is NIS 75. The price for the consumer will be determined later by the supplier.
Another aspect that exists in the new technology is high upload speeds and the same as download speeds .Despite the significant upgrade that the new technology provides, it should be noted that the use of the Internet by most customers today requires at most 1 gigabyte, but most households consume even less than that. This means that there is currently no real need for the new technology on the market.
So why did the company choose to launch it now? First, today there are companies that market surfing packages of 2.5 gigabytes, even though they use technology that can provide up to 2.5 gigabytes. This means that the package sold may be able to reach 2.5 gigabytes maximum but will usually provide much lower speeds. Thus, the new technology will make it possible to sell a 2.5 GB package that will really provide this speed most of the time. In addition, according to sources familiar with the matter, there is already a demand in both the wholesale and retail markets for premium packages at higher rates.
The CEO of IBC Unlimited, Yossi Hever, said: “We are proud to lead the fiber optic revolution for our customers and their consumers who are going to receive a high-speed Internet experience that has never been seen before in Israel. In recent months, we have made a number of moves that include significant purchases and accelerating the pace of deployment that have established us as a wholesale infrastructure company the leader in Israel. In addition, the nationwide network upgrade is also great news for our economy, and the areas of life that surround it such as medicine, education, etc.”