Israel to Scrap Reforms Aimed at Opening ‘Kosher’ Phones Market

Israel’s new government said it plans to reverse reforms that would have opened up the tightly controlled market of restricted “kosher” phones used by the ultra-Orthodox community.

(Bloomberg) — Israel’s new government said it plans to reverse reforms that would have opened up the tightly controlled market of restricted “kosher” phones used by the ultra-Orthodox community. 

Following a meeting with political leaders, who’d objected to his predecessor’s policy, newly appointed Communications Minister Shlomo Karhi said this week he’d reverse the rules. 

The “kosher” phones are blocked from accessing the internet, receiving text messages, and dialing some phone numbers, as determined by a committee of rabbis who set the religious guidelines for the phone services used by members of the insular religious community. The phone numbers associated with the devices have a distinct first few digits, allowing immediate recognition of whether a phone is “kosher.” 

The reforms introduced by former communications minister Yoaz Hendel would have allowed the phone holders to change to any other provider while keeping their original phone number, effectively loosening the rabbinical council’s grip over the industry. Though approved by the previous government, the change did not go into effect over the summer, as planned, after petitioners took the case to Israel’s High Court of Justice. The court in July ordered the government to hold off until a hearing could be held in 2023.

The move was one of the first orders of business for Prime Minister Benjamin Netanyahu’s new government of right-wing and religious parties, which was sworn in last week.

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Following the meeting, Karhi also said the ultra-Orthodox politicians agreed to back Israel’s plan to phase out its 2G and 3G networks entirely by 2025. Many of the specialized “kosher” devices are only supported by the older networks. 

Karhi extended the period in which new ultra-Orthodox customers could receive service supported by the older networks by six months, pushing back a late-January deadline for companies to stop connecting new customers to the old grids while continuing to serve existing customers until 2025.

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