Orange, O2, and T-Mobile agree to iPhone revenue deals

Merely days after we caught wind of Apple's rumored discussions with Vodafone, three other European carriers became the ones to reportedly agree to Apple's terms. According to FinancialTimes, "Apple has succeeded in committing European mobile phone operators that want exclusively to sell its new iPhone to share parts of their revenues with the technology group." The contract, which was signed by T-Mobile Germany, Orange, and O2, "requires that the operators hand over to Apple ten-percent of the revenues made from calls and data transfers by customers over iPhones" -- the same chunk required of those wanting to slap that Made for iPod logo on their accessories. Unfortunately, there's no word just yet on pricing, a launch timeframe, or any other lingering deals with overseas carriers, but we could very well hear more from all sides during IFA.

[Via The Boy Genius Report]

[Boz @ Aug 21st 2007 5:07PM]

Its interesting how the O2's website for the UK is "down for maintenance" on the same day that this information is brought to light.

Very interesting.

[Jack @ Aug 21st 2007 5:11PM]

The terms apple has laid out shows how desperate they are to milk this cow in any way possible.

P.s. Not A MS Fanboi !

[Paul @ Aug 21st 2007 5:35PM]

Umm, I think that's called "business."

[ethana2 @ Aug 21st 2007 6:34PM]

Well, /I/ call it being an ....

Openmoko, people. You don't have to put up with this crap.

[Fraser Drew @ Aug 21st 2007 5:16PM]

O2 will be OK in the UK... but it probably means no 3G iPhone, as *_I THINK_* that they are the only ones with an EDGE network :( That would be bad news...

[mikey @ Aug 21st 2007 5:52PM]

...they also have a 3G network.

[Archietype @ Aug 22nd 2007 8:46AM]

Orange is meant to have an EDGE network but I've only ever been able to pick it up once on my phone in one part of London.

[Shadowise @ Aug 21st 2007 5:30PM]

I thought Vodafone was getting in on this deal. Oh well. O2 have the best coverage out of the lot, so it will be interesting to see who people choose for their provider. I've been with O2 since they were BT Cellnet, lol.

[Vasilis @ Aug 21st 2007 5:55PM]

They might have the best coverage but they have the absolutely worst data plan 10£ (20$) for 20MB is a joke for a phone that is screaming unlimited data! The iPhone on O2 - or Orange for that matter - will be useless unless they offer special data tariffs for it.

Also as Fraser said, O2 does not have any sort of 3G network and thus not only the iPhone will come 6 months later than the US but it will also be on the same slow crappy EDGE connection.

Of the five O2 is the worst match (closely followed by Orange) for the iPhone. Tmob would have been the one to go with by far for the iPhone but yeah I can keep dreaming, he we go with the unlocking again.

Having said that I will keep my 10GB data plan with Tmob and my N95, I am not going anywhere near the O2 or Orange for the iPhone.

[James @ Aug 21st 2007 7:35PM]

T-Mobile are you on drugs they are shocking.

And O2 do have a 3G network and I don't think they have EDGE, not sure though but they have 3G. And they have the best coverage around unlike T-Mobile who dont even cover half of where I live!

[paccoast2010 @ Aug 23rd 2007 3:13AM]

Try Canadian rates! Rogers is the only cell phone co of the major 3 in Canada to use GSM. At these prices, the iPhone isn't coming here.

Sample Plans ($1 Cdn=$0.94US)

For Consumers, Wireless, mobile Internet

Monthly Fee, Data Included, Additional Data Usage / KB
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$10.00, 10MB, 3¢

[I calculate that an extra 10MB costs $307.20 (10*1024*0.03)]
http://www.shoprogers.com/store/wireless/services/voice/navigate-mobile-internet.asp?shopperID=PEPRQGSP5K828JAGQAS1X83396NGBRJ4

For Business

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or
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**With a 1-year commitment. Not available in all areas. Taxes are extra. Some restrictions may apply.

http://www.shoprogers.com/business/internet/portable/portable_overview.asp

[shaun @ Aug 21st 2007 5:39PM]

I think having it on multiple networks is the best way

I'm on o2 now and didn't really want to have to switch networks to get one, and I'm sure others feel the same

[Matt @ Aug 21st 2007 5:41PM]

This part is confusing me: "... European mobile phone operators that want exclusively to sell its new iPhone..."

Does that mean they're not going to be selling any other phones?

[jaapv @ Aug 21st 2007 6:41PM]

No, Apple will only have one provider sell the iPhone exclusively per country, in this way, they can get a better deal. They demand 10% revenue on data and audio transfer just so either the provider can exclusively sell the iPhone in that particular market.

[Fraser Drew @ Aug 21st 2007 6:00PM]

to clarify... O2 does have 3G, the same as all the UK operators; however, O2 are the ONLY ones who upgraded other towers to EDGE; meaning both an EDGE or 3G iPhone are possible. If it was Orange, Vodafone, T-Mobile or '3', they could only be 3G or GPRS...

[Gavin @ Aug 21st 2007 7:21PM]

Incorrect. Orange are the only UK operator to offer EDGE.

[Vasilis @ Aug 21st 2007 6:03PM]

I stand corrected then... I didnt even know they had 3G license as nowhere do you see them advertise anything about it...

[Gavin @ Aug 21st 2007 6:03PM]

If Europe is not to receive an enhanced 3G iPhone, then the best partner in the UK would be Orange as this is the only GSM operator to offer EDGE services which will provide around 80-90kbps real life download speeds (compared to the 30-40kbps offered by standard GPRS).

[Jamie Grieve @ Aug 21st 2007 6:12PM]

I think it will be a disaster for Apple to go with O2 in the UK. Their customer service is very poor and their network sucks.....Having used all the networks in the UK and experienced their customer service, I would be very unhappy to have to leave Vodafone to go back to O2. All my friends on O2 complain at the service and about their large bills!!

[Constable Odo @ Aug 21st 2007 6:31PM]

I'm not trying to belittle your opinion. Don't you think Apple does any advance testing on the networks? Like, Apple will just go to any network and then get shot in the foot. Every network must have users that think it sucks and those that think it's just fine.. Upgrading the network is always a possibility, isn't it. Or you just believe no network can be improved? Or should Apple just snob every network that's not up to snuff and lose sales? Anyway, time will tell. Maybe you're right, but I don't think that it's likely the whole network sucks to that degree or it would just go out of business.

[why not the LS2LS7? @ Aug 21st 2007 6:24PM]

This isn't the same contract as Made for iPod.

Made for iPod is 10% of the wholesale cost of accessories. It isn't tied to retail (customer) costs.

Also, given that data is "free" on Cingular w/iPhone, does that mean Apple just gets 10% of the $20/mo? $24 per customer per year? I would think the $5M they booked from 270,000 customers in 1 quarter would beg to differ.

[Pamplemoose @ Aug 21st 2007 6:29PM]

Anything other than T-Mobile or Vodafone in the UK and there's no way in hell I'm getting one unless they offer an unlimited data tariff alongside it. I had a HTC Wizard (XDA Mini S) on O2 and it was as good as useless with O2s data plan. I didn't get the best from that phone until I switched to T-Mobile and got unlimited data transfer.

The novelty will wear off very quick if people have to pay £5/mb to use their shiny new toy.

[Samurai Jack @ Aug 21st 2007 6:52PM]

We Americans had many of these same complaints about AT&T, as I'm sure you'll recall. However the actual iPhone service plans were only announced a day or two before the release. Imagine our surprise when we found that they were very reasonable. I suspect we have Apple to thank for this.

Regardless of what these carriers offer today expect their iPhone plans to look more like the AT&T ones than what you're used to seeing from them currently.

[paul-i @ Aug 21st 2007 6:57PM]

I was hoping for anything other than O2 :(
I wonder what will happen about the fact that the phone must be unlockable, will this mean we see sim free versions or that we just have to buy it through O2 and then unlock it.

If O2 do get I expect the price will be quite high for the phone as O2 tends to over charge for handsets vs. the others :(

[NDPTAL85 @ Aug 21st 2007 8:02PM]

Pamplemoose,

I'm not trying to be rude here but use your brain for a minute. Apple is ALL about the user experience. They're not going to let their customers be nickle and dimed on billing. There WILL be an unlimited data plan included on ALL the iPhone plans in Europe just like there is in the US. By keeping it simple you keep people happy and aquire the most customers.

[L. M. Lloyd @ Aug 21st 2007 7:24PM]

Umm... Samurai Jack, the "iPhone data plan" is exactly the same as any other AT&T data plan, but with an "i" stuck on the front of it. Do you mean that you have Apple to thank for the "i?" You can't thank Apple for the plan, since it is the same one that has been around since before the iPhone.

[Samurai Jack @ Aug 21st 2007 8:10PM]

I don't recall AT&T/Cingular having an unlimited data/200 SMS messages/some number of minutes bundle prior to releasing the iPhone. If so my apologies for getting it wrong. I still think we can thank Apple AT&T didn't rape us with additional charges as they like to do with their "Smartphone vs. PDA phone" plans.

In any event I still think European customers are more likely to see plans similar to the American ones. This phone without unlimited data would be a waste.

[SHoe @ Aug 21st 2007 7:13PM]

Wow - i think everybody is missing the most interesting thing here: will Nokia, Motorola, Sony-Ericsson, etc. put up with this shit (10% of call revenues)? Before anybody chimes in with 'what choice do they have?', remember that Nokia basically owns the global phone market and Apple cannot replace them across all market segmenta over night (or even over several years) - they simply don't have phone that hit the low end, the enterprise, etc. In other words: these carriers have to play ball. Maybe i am missing something and these phone manaufacturers already get a cut of teh revenue - though I have never heard of this.

If I was Nokia, i'd let these carriers know my new terms for doing business ASAP.

[Stefan Schipor @ Aug 21st 2007 7:54PM]

Hell yeah, at last!!! Come to Orange baby! :)

[Luke @ Aug 21st 2007 9:11PM]

yay now i can get one through tmobile without all that switching nonsense

[Scott @ Aug 22nd 2007 12:15AM]

Still waiting on word of 3G.

[the_rage @ Aug 22nd 2007 12:31AM]

t-mobile is the only one with a reasonably-priced data plan. i've consumed 90gb via hsdpa (DL 1,2mbps UL 480mbps)since launch of N95 in april and i still get charged £7.50 a month. i can only upgrade to something that will have either a higher hsdpa speed or the new hsupa...but damn that phone looks sleek

[jeff ammons @ Aug 22nd 2007 3:26PM]

Wow sounds like rape to me....
Is that the same deal they have with AT&T?