AppleInsider StaffApple 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.
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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105 Comments
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.
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.
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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?