A topic we were reluctant to write about is the iPhone launch in Israel. From a device the operators did not want to import so much, to a situation where there are 70K+ illegal iPhone devices in Israel and Hebrew hacks to the iPhone.
Long story short, two operators talked with Apple and each of them thought it will have exclusivity or at least several months head start but Apple played them and they both released the PR on the same day. The third company (Cellcom) saw the struggle and understood it was left behind so they hurried up and signed an agreement with Apple as well.
Now the situation in Israel is that from a country with no special interest in the iPhone, we will have according to the companies’ agreement around 300K iPhone devices sold every year by the three operators. In a market of less than 7.5 Million devices, we will have around 1 Million iPhones!!!
The operators are getting ready for the iPhone round, all 3 of them are working on dedicated apps that will be ready for the D-day when the iPhone will be launched.
Another interesting fact that was brought to my attention is that although Cellcom is the last company to sign with Apple, if you look at Apple’s Israel iPhone 3Gs page where the logos are, you will see that Cellcom’s logo is on top twice as large as the other two logos. Ususally there are no “mistakes” that give priority in some way to one company.
So after the short background, you understand how surprised we were that Cellcom anounced that they launch an iPhone look-alike to the market where thay know is going to be very saturated.
It seems like the iPhone did not grab all the attention of the operators, they also paid attention to the uprising of Google mobile OS, the Android.
Pelephone has announced that it will bring the HTC magic, and Bers-Electra the company that represent Sony Ericsson in Israel has announced that Android powered devices are soon to come.
But yesterday Cellcom was the first to launch an Android device the Samsung I7500.

The device will cost 3780 NIS (105*36) full price.
Orange will start selling the Samsung I7500 from next month too
The interesting part is that the device will support the Andorid Market, something that is not obvious.
Israeli mobile market will very soon be a very strange market. The competition in a small country between 3 strong and almost equal companies, made them do very dramatic steps and in this rate, every user in Israel will have a 3 smart phones because the operators signed deals with a very agressive commiting sales projection.