Israel Targets Universal Fiber Optic Access by End of 2026

The Israeli government's ambitious goal of connecting all or most households to fiber optic infrastructure by the end of 2026 is entering its final push, with Bezeq deploying FTTH connections at a rate of more than 100,000 households per month. Israel's largest telecom company now offers speeds up to 5 Gbps on its fiber network, with 10 Gbps available to select customers. Bezeq is responsible for fiber deployment to 82% of Israeli households, with the remaining areas served by Partner Communications, IBC, and Hot. The Communications Ministry has slashed wholesale rates for competitors using Bezeq's infrastructure and established a national fund to subsidize smaller companies deploying fiber to economically marginal areas. Noorcom has become the first company to win a tender under this subsidy scheme, deploying FTTH to Arab-majority communities. Despite progress, challenges remain. Deployment has been concentrated in high-rise residential areas in central Israel, and the periphery — including parts of the Negev and Galilee — remains underserved. The ministry acknowledges there has been "massive deployment" in the center in recent years and is now pushing operators to focus on the north and south. Israel's telecom market, valued at $4.5 billion in 2024, is projected to reach $6.3 billion by 2032. The concurrent rollout of 5G networks by Partner Communications, Pelephone, and Hot Mobile is driving additional infrastructure investment, though fierce price competition and the high cost of spectrum licenses continue to strain operator profitability. The Digital Israel initiative aims to ensure that broadband expansion delivers both digital inclusivity and economic growth across all communities.