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France Bans Exclusive Apple iPhone Deal with Orange

Updated:2008/12/18 10:44

Tags:Orange | iPhone | 3G

The French Competition Council has ordered Apple and its local exclusive operator, Orange to stop blocking sales of the iPhone to customers who want to use rival operators. The Council said that the changes are provisional, but have to come into effect from tomorrow (Thursday) and hence will enable SFR and Bouygues Telecom to offer the iPhone in time for Christmas - providing they can get deliveries of the handset.

In a response, Orange notes that it is "ironic that the operator [Bouygues Telecom] which is most behind in terms of rolling out its 3G network initiated this complaint"

Any appeal by Orange and Apple against the ruling could take as much as a year to be concluded.

Orange also said that the decision is a serious blow, and calls into question the economic structure of the market and in particular, the different partnerships made between mobile operators and handset manufacturers.

"This decision, which will have a major impact on the market, was taken without any in-depth examination of the situation during a debate on conservatory measures. Unfortunately, this decision may have serious consequences on manufacturers, as well as their subcontractors and software suppliers, sectors that are already facing economic difficulties." the company added.

After one year of its exclusive partnership, Orange will have sold over 150,000 first generation iPhones and over 450,000 3G iPhones.

 

Source:cellular-news

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