Israel's Ministry of Communications Approved, for the First

Time in Israel, the Establishment of an Innovative Community-Wide WiMAX Network 
PETACH TIKVA, Israel, September 19 /PRNewswire-FirstCall/ -- Internet
Gold (Nasdaq NMS: IGLD, TASE: IGLD), Alvarion (Nasdaq NMS: ALVR) and Intel
(Nasdaq NMS: INTL) today announced that they are cooperating to establish
Israel's first community-wide WiMAX-based broadband network, bringing
high-speed Internet access, data and voice services to an area within the
city of Sderot and Israel's Western Negev. These areas are remote from
Israel's densely populated central region and are currently dealing with
difficult security challenges. The new network will transform the specific
area into a "hot spot" with free of charge, "always-on" Internet access and
state-of-the-art communications services, making it one of the country's -
and the world's - most technologically advanced regions. 
The project was made possible by the issuance today by the Israeli
Ministry of Communications to Internet Gold's fully-owned subsidiary, 012
Smile.Communications, of an extension to the limited license for WiMAX field
trials in restricted areas the company received which currently ends on March
2008 and the issuance in February of an unlimited license for nationwide VOB
(Voice Over Broadband) services. WiMAX is an emerging technology designed for
the wireless, high-speed delivery of broadband Internet access and related
services in areas with diameters of up to ten kilometers, such as campuses or
The Sderot Project represents an extension of these field trials. Through
the use of Alvarion's advanced WiMAX technology and Intel network equipment,
the area's schools, kindergartens and public spaces will receive broadband
connections to 012 Smile.Communications' 012-branded Internet Access services
and 072-branded telephony services. 
"We are proud to be the 'midwife' of this important project and grateful
for the enthusiastic participation of our partners Alvarion and Intel," said
Ms. Stella Handler, CEO of 012 Smile.Communications. "As one of Israel's
leading communications groups, we have always searched out ways to give back
to the community, and are strong believers in the power of technology as an
enabler of developmental change. We are therefore doubly pleased to bring
WiMAX to Sderot, a city that has suffered on both developmental and security
fronts, helping it to become one of the world's first 'connected' cities and
giving it the technology to reach its full potential." 
Mr. Tzvika Friedman, President and CEO of Alvarion, added, "In developing
regions throughout the world, broadband Internet access is proving to be a
great 'leveler' that brings improved education and economic progress in its
wake. We are proud to be a world-leading developer of cost-effective WiMAX
technologies -- and delighted to take part in this worthwhile project so
close to our home base." 
Mr. Raviv Melamed, General Manager of Intel's Mobile Group, commented,
"We feel that it is especially appropriate for us to contribute our
world-leading WiFi and WiMAX modems and adapters - the majority of which were
developed in our Israeli R&D centers -- to these heroic Israeli communities.
By extending the 'connectedness' of local kindergartens, schools, public
agencies and businesses, we hope our joint project will improve the quality
of life for Sderot residents." 
About Internet Gold 
Internet Gold is one of Israel's leading communications groups with a
major presence across all Internet-related sectors. Its 012
Smile.Communications 100% owned subsidiary is one of Israel's major Internet
and International Telephony service providers, and one of its largest
providers of enterprise/IT integration services. Its 100% owned Smile.Media
subsidiary manages a growing portfolio of Internet portals and e-Commerce
Internet Gold is part of the Eurocom Communications Group and its shares
trade on the Nasdaq Global Market and on the Tel Aviv Stock Exchange. 
For additional information about Internet Gold, please visit its
investors' site at 

    For further information, please contact:
    Lee Roth - KCSA Worldwide
    Tel: +1-212-896-1209
    Mor Dagan - Investor Relations
    Tel: +972-3-516-7620
    Ms. Idit Azulay, Internet Gold
    Tel: +972-3-939-9848

SOURCE  Internet Gold 
For further information, please contact: Lee Roth - KCSA Worldwide,, Tel: +1-212-896-1209; Mor Dagan - Investor Relations,, Tel: +972-3-516-7620; Ms. Idit Azulay, Internet Gold,, Tel: +972-3-939-9848
-0- Sep/19/2007 15:09 GMT
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