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Apple makes iPhone agreement in Europe

Apple makes iPhone agreement in Europe

By Editorial Team (Wednesday, 22nd August 2007)

Mobile phone firms looking to be exclusive sellers of the iPhone in European countries will have to share a proportion of their revenues with Apple.

Three companies - Orange of France, Germany's T-Mobile and O2 in the UK - have agreed to the US firm's revenue-sharing deal, the Financial Times reports.

As a result, the operators will be required to hand over ten per cent of their revenues from calls and data transfers made by iPhone customers to Apple, representing a significant shift in the relationship between network providers and handset manufacturers, according to the newspaper.

The deal is set to break new ground in the mobile sector because it is the first time a handset company has managed to secure a direct share of an operator's revenues, with industry commentators predicting that other firms may now try to replicate Apple's success.

Testing of the iPhone by User Centric recently revealed that many customers are likely to find writing text messages with the product more difficult and time-consuming than on a conventional phone. Researchers said that many people became frustrated by the iPhone's touch sensitive keypad.



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