established at the outset of the Peace process in the Middle East and started
its operations in Palestine in 1997 as a public shareholding company providing
state of the art telecommunication services to the Palestinian end user. Its
bundled services include: Local and international telephone services, internet,
data communications, mobile services, payphones and next generation
services. PALTEL was able to achieve the
highest standard in telecommunication services by investing in modern
technologies, an advanced telecom infrastructure and human resource
development. PALTEL’s continued
investments have allowed the Group to enjoy sustainable growth in all its
operational and financial indicators in order to maintain its competitive edge
and strive as a market leader within the community.
Today, PALTEL Group
is an integrated economic Group consisting of PALTEL, the Palestine
Telecommunications Company for fixed line services; Jawwal, the Palestine
Cellular Communications Co., for mobile communications and the first mobile
operator in Palestine; Hadara, a major data services provider; Reach, the first
contact center in Palestine; Palmedia, a multimedia services provider and;
Hulul, the IT support services provider.
By end of June 2014, Jawwal has retained 2.63 million mobile subscribers
and PALTEL has 401 thousand fixed and 230 thousand ADSL lines.
net earnings grew from USD$ 12.1 million in 2000 to USD$ 130 million in 2013,
thus providing the Group with financial stability to further invest in
technology and synergies across the ICT industry. In turn, this raised the Group’s
contribution to the GDP to surpass 80% of the overall ICT contribution of the
Palestinian GDP. The Group is the
largest employer in the Palestinian private sector with more than 3,000
employees in the West Bank and Gaza Strip.
PALTEL stock represents 33% of the total market CAP of the Palestine
Exchange (PEX). PALTEL stock is the
dominate stock on the Palestine Stock Exchange, representing the highest and
most influential stock in Al-Quds Index to reach 40% of the index sample
according to the PEX, bringing its value up and is attracting regional and
international investors to the Palestinian Capital Market.
company was to enjoy exclusivity in the Palestinian market from the outset for
a phased out period, however, the company’s mobile operator unit; Jawwal, faced
fierce competition from 4 large scale Israeli mobile operators since day one of
operation. The company was able to grow and further develop despite early
competition, gaining market recognition for operating in highly adverse
conditions and a difficult business environment.
The Group has participated in offshore
investments with a vision to tap into international markets via its strategic
investment in VTEL holdings and VTEL MEA.
VTEL is a telecom operator, which has invested in different parts of the
world, mainly emerging markets in various telecom technologies, i.e. broadband,
GSM and WIMAX. VTEL has acquired
licenses in Africa, the Caribbean and the Middle East. Recently, VTEL MEA received the license to provide 4G (LTE) services, through its subsidiary
“Newroz Telecom” operating in the Kurdistan province of Iraq.
VTEL was incorporated at the Dubai International
Financial Center (DIFC) in 2006, the most prestigious financial hub in the
region. Fundamental to its growth and
business plan will be its future listing of shares in the DIFC. PALTEL Group currently own 25% of VTEL, but
seeks to further strengthen the relationship with VTEL in the imminent future.
Corporate Social Responsibility: PALTEL Group
PALTEL Group contributes to the social
development of Palestine through the PALTEL Group Foundation, the independent
arm of the Group. PALTEL Group’s total
expenditures during H1 2014 is around USD $3.36 million, in addition to USD
43.8 million expensed for major development projects performed by our CSR
Department and the Foundation from 2005 till 2013.