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Orange iPhone Deal Delayed Over Contract Negotiations

Friday, October 5th, 2007 at 9:20 AM - by

France Telecom CEO Didier Lombard said in September that Orange would offer the iPhone in France before Christmas. Now it appears that won't happen since Apple and Orange are still negotiating over terms of the deal, according to MarketWatch.

Tensions between the iPhone maker and cell service provider have been rising over the negotiations, and the two companies have not been able to come to terms over licensing agreements. The two companies have been trying to work out details over exclusive distribution rights while trying to work within French law that requires consumers must have the option of buying cell phones without a contract.

The companies have also been arguing over Apple's demand for up to 30 percent of iPhone-related voice and data revenues.

One source at Orange commented "The risk we're evaluating this week is that Apple crosses France off."

The potential negotiation breakdown translates into bad news for French consumers waiting for a chance to buy an iPhone. While the U.K. and Germany will get their iPhone launch on November 9, it looks like France will be on hold a while longer.

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