"We were sure about one thing at the start of the reform: that the situation at the time could not continue. Prices and fines were high, but I can tell that we never thought that there would be all-inclusive plans for NIS 89. We imagined NIS 150-170, but good surprises are always welcome," Minister of Communications Moshe Kahlon told "Globes" editor in chief Haggai Golan on his "Globes TV" One-on-One interview show.
Kahlon believes that mobile prices will not stay at such a low level, but will rise to around NIS 120-130 a month for all-inclusive plans. "I believe that we can reach a balance. Let's say not at NIS 89 or at NIS 400, but a balance of NIS 120-130. I don't like stating numbers, but in my opinion, we can more or less live with these numbers."
Kahlon said his next goal is lower TV prices. "We're planning two moves. First, to try and legislate a narrow plan. If they [satellite broadcaster DBS Satellite Services (1998) Ltd. (YES) and cable broadcaster HOT Telecommunication Systems Ltd. (TASE: HOT)] don't lower prices voluntarily, we'll do it through legislation.
"The second thing is to bring in more competition, IPTV. As I've said, Cellcom Israel Ltd. (NYSE:CEL; TASE:CEL) and Partner Communications Ltd. (Nasdaq: PTNR; TASE: PTNR) can offer television over the internet. I believe that 60% of TV in France is IPTV, rather than through commercial channels like YES and HOT. This is competition, which I believe will also prove itself.
"No one needs 100 channels. They can offer us 20, 22 channels; the ones we watch, or watch frequently. When I pay for 100 channels that I don’t use, it's like paying for a shopping cart with one million items when I need only four."
Published by Globes [online], Israel business news - www.globes-online.com - on June 7, 2012
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