Orange has won the rights to sell the Apple iPhone in the UK, ending O2's two-year exclusive agreement with the technology group.
The French-owned group is to sell the smartphone in its stores and online from later this year. Similar announcements are expected to follow from other major British phone companies.
In a statement, Orange said: "Orange UK and Apple have reached an agreement to bring iPhone 3G and 3GS to Orange UK customers later this year."
The group declined to give pricing details. The gadget arrived in the UK in 2007 with a hefty price tag. The basic handset cost £269 but Britons also had to sign-up to a contract costing £35-£55 a month for a minimum of 18 months. That put the cost of the handset and contract at between £899 and £1,259 over 18 months.
The auction for the exclusive UK rights to sell the iPhone two years ago was one of the most fiercely contested mobile battles since the £22.5 billion auction of 3G rights 2000.
O2's win marked a huge coup for the group, providing it with a major advantage in the battle to win and retain customers.
In February, O2 revealed it had sold one million iPhones in this country while the launch in June of the latest model, the iPhone 3GS, has accelerated weekly sales.
As well as helping O2 to win subscribers from other networks, it has also substantially boosted the company' mobile data revenue as subscribers have used the phone to access the internet and download applications.
Vittorio Colao, chief executive of Vodafone, conceded earlier this year that the company's UK business was being damaged because it did not have the rights to the iPhone.
The loss of its exclusive deal comes at a bad time for O2, which has already been toppled from top position in the UK mobile market by the recent tie-up of Orange and T-Mobile, the German owned mobile operator.
The merger will create Britain's largest mobile network with a market share of 37 per cent.
When the iPhone was launched, in 2007, Apple struck single operator deals in the UK, Germany, France and the US.
But, in a bid to maximise sales, the California-based group began signing agreements with more than one operator in each country.
The iPhone was originally sold by O2 as a contract-only phone although today it is available on pay-as-you-go as well.
A spokesman for O2, said: "This is not unexpected. We are proud to have been able to offer it first but our relationship with Apple is a very very strong one and will continue to be. It is not like it has been taken away from us."
4 comments:
But i think BlackBerry is better than iPhone
Buti think BlackBerry is better than iPhone
nnoo...iphone is iphone..but certainly blackberry is more cost effective than iphone..!
Ya that i do accept it
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