Tuesday, January 30, 2007
Verizon rejected Apple iPhone deal
USA Today reports that Verizon was asked first and rejected Apple's iPhone deal.
NEW YORK — Verizon Wireless, the No. 2 U.S. cellphone carrier, passed on the chance to be the exclusive distributor of the iPhone almost two years ago, balking at Apple's rich financial terms and other demands.
Among other things, Apple wanted a percentage of the monthly cellphone fees, say over how and where iPhones could be sold and control of the relationship with iPhone customers, said Jim Gerace, a Verizon Wireless vice president. "We said no. We have nothing bad to say about the Apple iPhone. We just couldn't reach a deal that was mutually beneficial."
Verizon's decision to pull the plug on talks sent Apple into the waiting arms of Cingular, which will be the exclusive U.S. carrier for the iPhone. The multifunction device is expected to ship in June and cost about $500.
If you read further and see the conditions Apple wanted from Verizon, one could raise the question if Verizon really passed a chance, or as Mark Siegel, a Cingular spokesman, said, "We think this is a win for Apple, and it is a win for Cingular."
We will see - it could also be a loss for Apple and Cingular and a win for Verizon ;-)
NEW YORK — Verizon Wireless, the No. 2 U.S. cellphone carrier, passed on the chance to be the exclusive distributor of the iPhone almost two years ago, balking at Apple's rich financial terms and other demands.
Among other things, Apple wanted a percentage of the monthly cellphone fees, say over how and where iPhones could be sold and control of the relationship with iPhone customers, said Jim Gerace, a Verizon Wireless vice president. "We said no. We have nothing bad to say about the Apple iPhone. We just couldn't reach a deal that was mutually beneficial."
Verizon's decision to pull the plug on talks sent Apple into the waiting arms of Cingular, which will be the exclusive U.S. carrier for the iPhone. The multifunction device is expected to ship in June and cost about $500.
If you read further and see the conditions Apple wanted from Verizon, one could raise the question if Verizon really passed a chance, or as Mark Siegel, a Cingular spokesman, said, "We think this is a win for Apple, and it is a win for Cingular."
We will see - it could also be a loss for Apple and Cingular and a win for Verizon ;-)
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