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Tuesday, August 21, 2007, 03:25 pm
Apple signs iPhone providers for UK, France & Germany - report
Apple Inc. has reached an agreement with three separate European wireless carriers to act as exclusive iPhone partners in the UK, France and Germany, the Financial Times is reporting.Citing people familiar with the matter, the financial paper said T-Mobile of Germany, Orange of France and O2 in the UK, have each in recent days signed agreements that afford them exclusive rights to market the Apple handset to customers within those respective nations.
In return, the Cupertino-based electronics maker has reportedly succeeded in committing the phone operators to fork over 10 percent of the revenues made from calls and data transfers by customers using iPhones.
"The deal gives manufacturers of handsets for the first time a direct share of the revenues a mobile phone operator makes from calls and data transfers, marking a shift in the relationship between the parties," the Financial Times reported.
Thus far, mobile operators have campaigned fiercely against such an approach. However, experts told the Times that Apple’s success in securing the deals could spur other handset manufacturers to try to secure similar terms.
All three of the European wireless carriers are said to be hoping for a significant boost in their image from the exclusive deal with Apple, as well as a pool of attractive customers with high rates of spending on calls and data transfers.
Among the tactics used by Apple to lured the mobile operators, according to the Times, was the prospect of a financially risk-free business -- as it will not allow for common subsidies on the sale of handsets.
The operators will reportedly announce the partnerships at the IFA consumer electronics fair in Berlin, which runs August 31st through September 5th.
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Previous Comments View All
It's good to see these deals done. There are several questions that do come up, however.
People in Europe travel between countries a lot, just like people in the US travel between states. Will someone who is a UK iPhone owner have transparent use of their iPhone in Germany & France without huge roaming fees?
Also, has Apple ensured that US owners will have effective use of their iPhones in these countries - even if it means switching out the SIM card? I wold hope that Apple is taking a very universal approach in this area.
The European price is going to be higher because the US Sales Tax is included in the price, not added on to the purchase price at the cash register. (A far more effective approach in my opinion,) Hopefully Apple will be able to keep pricing fairly close to the US costs when taxes are considered, especially with the Dollar being as weak as it is.
Quote:
Originally Posted by kenaustus 
I
People in Europe travel between countries a lot, just like people in the US travel between states.
I
People in Europe travel between countries a lot, just like people in the US travel between states.
Not really.
The family & friends I have in the UK do - makes me rather envious! 
One other interesting bit from the Financial times - they are saying that ATT has a 2 years agreement with Apple, not a 5 year agreement we have been reading about. If that's the case then the T-Mobile agreement in Germany might provide T-Mobile in the US with a load of insight when the ATT agreement expires.
O2 is Balls, Yeah?
Yeah. Yeah?
Quote:
Originally Posted by waytogobuddy
O2 is Balls, Yeah?
O2 is Balls, Yeah?
None are any better than the others in reality.
Customer Service is not a strong point really for any of them.
Quality of reception & coverage is location dependent - where I live O2 is best - have tried vodafone & orange here as well.
3G coverage is sketchy for them all but improving quickly - supposedly O2 is lagging here but not found it a particular problem personally - only use it for the internet & not video confrencing.
Quote:
Originally Posted by kenaustus
People in Europe travel between countries a lot, just like people in the US travel between states. Will someone who is a UK iPhone owner have transparent use of their iPhone in Germany & France without huge roaming fees?
Also, has Apple ensured that US owners will have effective use of their iPhones in these countries - even if it means switching out the SIM card? I wold hope that Apple is taking a very universal approach in this area.
The European price is going to be higher because the US Sales Tax is included in the price, not added on to the purchase price at the cash register. (A far more effective approach in my opinion,) Hopefully Apple will be able to keep pricing fairly close to the US costs when taxes are considered, especially with the Dollar being as weak as it is.
People in Europe travel between countries a lot, just like people in the US travel between states. Will someone who is a UK iPhone owner have transparent use of their iPhone in Germany & France without huge roaming fees?
Also, has Apple ensured that US owners will have effective use of their iPhones in these countries - even if it means switching out the SIM card? I wold hope that Apple is taking a very universal approach in this area.
The European price is going to be higher because the US Sales Tax is included in the price, not added on to the purchase price at the cash register. (A far more effective approach in my opinion,) Hopefully Apple will be able to keep pricing fairly close to the US costs when taxes are considered, especially with the Dollar being as weak as it is.
As it is now the consumers allready pay roaming prices when they travel abroad within EU. The price off course depends on the agrrements between the (inter)national partners. But as we are speaking the European Commission is working on a proposal to secure lower rates for the consumers when they cross the borders within EU.
I don't know how big a saying Apple has on the tariffs the company will charge their customers. The competition is so fierce anyway so that the tele-company can't afford to charge to high tariffs. The prices differ, though, quite substantially from country to country in EU so in that sence it would be close to impossible to set a uniform price, especially if one take into account that the VAT differs across countries.
Regarding taking a US iPhone to use in EU by switching SIM-card I would think it should be done by a small software upgrade (but I don't have any tech bagground to back that up - it's a guess)
Quote:
Originally Posted by bluedalmatian
Not really.
Not really.
What does that mean? That you don't? Don't confuse yourself with everyone else, i am sure the original poster did not say "everyone moves between countries" just that people do. And yes many people do for work and for pleasure.
Oh Canada....sigh 
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I wonder how much it cost Apple, Moto, Samsung, HTC to make these phones. I'd love to see direct sales at a subsidized price. If they all start asking for some of the phone/data money from these Cellular companies, I predict major problems ahead.