Síminn
Encyclopedia
Síminn, previously named Landssíminn, is an Iceland
ic telecommunications company. It was acquired by Exista
in 2008.
was laid from Scotland
through the Faeroe Islands to Iceland, where it came ashore on the east coast. A telegraph and telephone line, which ended Iceland's internal isolation, was laid to Reykjavík
. Many years passed, however, before all Icelanders got access to the telephone system. The laying of telephone lines in rural areas was finished around 1960. The Iceland State Telephone Service was founded the same year as telephone technology arrived in Iceland, 1906. In 1935, the telephone and postal services were consolidated. In 1998, they were again separated, and Iceland Telecom Ltd was founded.
, was opened. Most of Iceland’s international telephone calls now go via this cable along with a great volume of data, such as for the Internet.
, and a backup connection via satellite for all its communications with other countries. Telecommunications companies can now utilise both the cables in parallel so that if the connection is broken on one cable, there will be nearly no disruption of services.
. Og Vodafone has since then bought a few Icelandic Internet Service Provider
s. On October 6 Og Vodafone changed it name to Vodafone
Iceland
Iceland , described as the Republic of Iceland, is a Nordic and European island country in the North Atlantic Ocean, on the Mid-Atlantic Ridge. Iceland also refers to the main island of the country, which contains almost all the population and almost all the land area. The country has a population...
ic telecommunications company. It was acquired by Exista
Exista
Exista hf. is an Icelandic financial services group formerly listed on the Iceland Stock Exchange. Its activities are based primarily on insurance underwriting and other financial services, although it is also active in investments. The group’s primary market is the Nordic countries.-Ownership:The...
in 2008.
History
Telecommunications play a vital role in Iceland. Although the country's population is relatively small (~320,000), its penetration rates for network-related products and services are among the highest in the world. Approximately 90 percent of Iceland's households are equipped with a computer, and more than 80 percent are connected to the Internet. Demand is high and continuous.Isolation ended
The year 1906 marked a milestone in Iceland's history of telecommunications. That year, a submarine telegraph cableSubmarine communications cable
A submarine communications cable is a cable laid on the sea bed between land-based stations to carry telecommunication signals across stretches of ocean....
was laid from Scotland
Scotland
Scotland is a country that is part of the United Kingdom. Occupying the northern third of the island of Great Britain, it shares a border with England to the south and is bounded by the North Sea to the east, the Atlantic Ocean to the north and west, and the North Channel and Irish Sea to the...
through the Faeroe Islands to Iceland, where it came ashore on the east coast. A telegraph and telephone line, which ended Iceland's internal isolation, was laid to Reykjavík
Reykjavík
Reykjavík is the capital and largest city in Iceland.Its latitude at 64°08' N makes it the world's northernmost capital of a sovereign state. It is located in southwestern Iceland, on the southern shore of Faxaflói Bay...
. Many years passed, however, before all Icelanders got access to the telephone system. The laying of telephone lines in rural areas was finished around 1960. The Iceland State Telephone Service was founded the same year as telephone technology arrived in Iceland, 1906. In 1935, the telephone and postal services were consolidated. In 1998, they were again separated, and Iceland Telecom Ltd was founded.
Automatic Telephony
The people of Reykjavík were quick to adopt the telephone. In 1912, the total number of telephone users in the town was 300. In 1932, the first automatic telephone exchanges in Iceland were opened, and in 1986, all telephones in the country were connected to automatic telephone exchanges. The laying of fibreoptic cable around the country began in 1985. The first digital telephone exchanges were opened in 1984, and this technology extended to all telephone exchanges 11 years later.Direct International Dialling
Short-wave telephone communications with other countries were opened in 1935. The submarine cable, Scotice, between Scotland and Iceland was opened in 1962. In connection with the cable, telex services were established in Iceland. A year later, the Icecan cable between Iceland and Canada was formally opened. In 1980, the Skyggnir Earth Station came online, and telephone calls to other countries then went via satellite. Direct dialling to other countries became possible for the first time. In 1994, a new submarine cable, CANTAT-3CANTAT-3
CANTAT-3 is the third Canadian transatlantic telecommunications cable, in operation from 1994, initially carrying 3 x 2.5 Gbit/s between Canada and Europe...
, was opened. Most of Iceland’s international telephone calls now go via this cable along with a great volume of data, such as for the Internet.
Going mobile
Icelanders are quick to adapt to innovations, and this was especially true of mobile telephones. The NMT system went into operation in 1986, and the GSM system in 1994. In 1998, the broadband was put into operation. Iceland Telecom serves both residential and corporate clients in this small, but technologically advanced, country. Given its customers' enthusiastic adoption of information and communications technologies, the company continually seeks ways to maximize its network assets and add more value for consumers. It is not alone; increasing customer demands and fierce competition from cable and satellite service providers are compelling telecommunications companies everywhere to channel additional, high-value services - including broadcast entertainment - through their existing networks.Farice
A watershed in Iceland's telecommunications occurred when the FARICE submarine cable, running between Iceland and Scotland via the Faeroe Islands, was taken into use. Farice hf. is the owner and operator of the cable, but the company's organisers are Síminn, the Icelandic State, FøroyaTele and other parties. Iceland therefore has redundant connections via separate fibre optic cables stretching east and west across the ocean. This means more security than before when telephone and computer users had to rely on only one fibre optic cable, CANTAT-3CANTAT-3
CANTAT-3 is the third Canadian transatlantic telecommunications cable, in operation from 1994, initially carrying 3 x 2.5 Gbit/s between Canada and Europe...
, and a backup connection via satellite for all its communications with other countries. Telecommunications companies can now utilise both the cables in parallel so that if the connection is broken on one cable, there will be nearly no disruption of services.
IPTV
In early 2004, Iceland Telecom decided to expand its services to include Live TV and, now, Video on Demand a move to answer customers' requests for bundled television, broadband and telephony services, which would signal Iceland Telecom's entry into the world of "triple-play" (integrated telephone, television and broadband offerings). By distributing digital television content via the ADSL system, Iceland Telecom is utilising its large investment in telecommunications systems and facilitating the general build-up of the distribution system all over the country, beyond what had previously been viable.Privatization
In July 2005, the Icelandic government privatized Landssími Íslands and sold its 98.8% share to Skipti ehf. In December 2005, three companies, Landssími Íslands, Íslenska sjónvarpsfélagið (The Icelandic Television Company) and the parent company, Skipti ehf., merged and the name was subsequently changed to Síminn hf. In March 2007 the following proposals of Siminn's board were approved: A new parent company called Skipti hf. was introduced and Síminn was split into three companies: Síminn hf. the main operating company; Fasteignafélagið Jörfi ehf, a real estate company, and Míla ehf which owns and operates the national trunk and access networks in Iceland. The new structural change took effect from 31 October 2006.Competition
Póstur og sími had a monopoly on most telecommunications services until 1998. That year a new law came into effect and the market opened for competition. The first competitor was TAL, offering mobile services on reduced prices. Others followed, the biggest one being Íslandssími. In the Internet (ISP) market the competition was a lot tougher, with names like Íslandssími, Halló!, Margmiðlun, Skíma, Skrín, Snerpa, Íslandía and Miðheimar and the list goes on. In 2003 TAL, Íslandssími and Halló! merged under the name Og VodafoneVodafone Iceland
Vodafone Iceland is an Icelandic telecommunications company and is part of the Icelandic IT company Teymi. Although the company carries the Vodafone brand and trademark, Vodafone Group owns no interest in the company, but rather franchises the brand and associated advertising styles to Teymi, the...
. Og Vodafone has since then bought a few Icelandic Internet Service Provider
Internet service provider
An Internet service provider is a company that provides access to the Internet. Access ISPs directly connect customers to the Internet using copper wires, wireless or fiber-optic connections. Hosting ISPs lease server space for smaller businesses and host other people servers...
s. On October 6 Og Vodafone changed it name to Vodafone
Vodafone Iceland
Vodafone Iceland is an Icelandic telecommunications company and is part of the Icelandic IT company Teymi. Although the company carries the Vodafone brand and trademark, Vodafone Group owns no interest in the company, but rather franchises the brand and associated advertising styles to Teymi, the...