PalTel was 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. PalTel provides state of the art 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 based on investment in modern technologies, telecom infrastructure and human resource development. Our continued investment in society has allowed PalTel 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, Palestine Telecommunications Company; Jawwal, the Palestine Cellular Communications Co., the first mobile operator; Hadara, a data services provider; Hulul, the IT support services provider; Palmedia, a multimedia services provider and; Reach, the first contact center in Palestine. As of end of September 2012, Jawwal has retained 2.59 million mobile subscribers and PalTel has 391 thousand fixed and 169 thousand ADSL subscribers. The Group contributes about 12% to the GDP of Palestine and is the number one employer among private sector entities with around 3,000 employees in the West Bank and Gaza Strip; making it the largest employer after the Palestinian government.
PalTel stock represents 35% of the total market CAP of the Palestine Exchange (PEX). PalTel stock is the dominate stock on the Palestine Stock Exchange (c. 40% of daily turnover) bringing its value up and is attracting regional and international investors to the Palestinian Capital Markets. PalTel’s net earnings grew from USD$ 12.1 million in 2000 to USD$ 128 million in 2011, thus providing the company with financial stability to further invest in technology and synergies across the ICT industry.
Although the 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 difficult business environment.
Off shore operations: The Group has participated in offshore investments and a vision to tap into international markets via its strategic investment in VTEL holdings. VTEL is a telecom operator, which 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, Eastern Europe and the Middle East. VTEL was incorporated at the Dubai International Financial Center (DIFC) in 2006 and PalTel owns 25% of VTEL.