The year 1906 marked a milestone in Iceland's history of telecommunications. That year, a submarine telegraph cable 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 Reykjavik. 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.