Israel is investing in 5G services and smart city projects, which will drive the adoption of 5G services and innovative M2M/IoT, AI, AR/VR, edge and cloud computing use cases for consumer, enterprises, and the government.

The Ministry of Communications (MoC) allocated NIS50m ($14.9m) in February 2023, to accelerate the adoption of advanced technical application on cellular networks in various sectors.

The initiative will incentivize entities that offer public services to create ventures based on 5G technologies. Also, MoC, established an inter-ministerial team to promote the deployment of 5G infrastructure in the country, and announced plans to implement a large-scale allocation of 5G frequencies to private and non-telecom companies. This will stimulate innovation and digital transformation in agriculture, autonomous vehicles, stadiums, hospitals, universities, and industrial plants.

In line with MoC plans, Cellcom, one of the leading MNOs, has partnered with Parallel Wireless, technology company, to deploy a 5G standalone (SA) network, in April 2023. The company also announced its plans to establish a cloud-based 5G SA network that will deliver lower latency and higher throughput.

On the back of the government support and telco efforts, 5G subscriptions will increase from 15.4% in 2022 to 50.7% in 2027, supported by rising adoption of M2M/IoT solutions in the country as well as telcos marketing 5G plans and devices and offering higher data volume plans for data-hungry applications like video streaming and mobile gaming.

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