Police officer speaking on a cell phone.
Police officer speaking on a cell phone. Photo by Daniel Bar-On
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Amitai Ziv

Without any public fanfare or even a press release, yet another firm has received a license from the Communications Ministry to offer cellular phone services.

Cellact, a company actually established in 2000, which up to now has specialized in text messaging services, has gotten permission to operate a virtual cellular network, meaning that it would lease cellular transmission infrastructure from existing cellular firms rather than building its own.

According to Cellact's website, up to now the company has specialized in mobile messaging for businesses, organizations and mobile operators. It paid a million shekels for the cellular service license and also posted a NIS 10 million guarantee from its own assets.

It appears that the company will be targeting the business sector with its cellular service rather than offering cellphone services to individual consumers.

The fact that Cellact secured a cellular license from the ministry does not ensure that it will actually offer cellular service.

A number of other companies have also received licenses but haven't begun offering service, either because that have not come to a leasing agreement with an existing cellular company for the use of its infrastructure or because it has not managed to find an appropriate business model.