The problem with allowing LCC's such as RyanAir to enter the market is that they are able to exploit their extremely low cost structure. That, coupled with economies of scale, will enable them to offer rock bottom fares for as long as possible until they chase out all competitors, such as EL AL and any European legacy directly in competition on any route they fly from the EU to Israel, out of the route at which point they will jack up fares.
I am all for "open skies" and "free competition" so long as everyone has an equal playing field.