Slashdot Mirror

← Back to Stories (view on slashdot.org)

iPhone Business Model Hits a Snag in France

Posted by Zonk on from the open-is-as-open-does dept.

Serhei writes "It seems like the iPhone might not be released in France by this holiday season, since French requires by law that all cell phones sold there must be obtainable in an unlocked version. Apple will not be able to do so, since it has launched with a 5-year exclusivity agreement with AT&T. That deal will probably require exclusivity worldwide to avoid grey-market imports. (In return for this agreement Apple receives a large share of AT&T's monthly revenues from iPhone subscribers.) If the iPhone falls through in France, the country can join Belgium and a potentially long list of other countries with unlocking laws, whose Apple fans will have to make do with other, less Apple-y phones. Note that there is currently no mention of the iPhone on the Apple France page."

5 of 332 comments (clear)

  1. Good news! by OdinOdin_ · · Score: 5, Insightful

    This is excellent, it means those EU countries which won't accept iPhone will have to churn out something thats a whole lot better, this is good news for consumers!

    1. Re:Good news! by anticypher · · Score: 5, Informative

      There are no EU wide laws. There are directives, from which countries create their own versions as laws that meet local customs, historical precedent, and local lobbying/corruption influence.

      There are strong anti-tying directives, to keep the american-style business model (microsoft, walmart) from damaging the economy here. France has consumer protection laws at least as strong as those in Germany, and most countries here have varying levels of enforcement. The UK has some of the weakest consumer protection laws, and with OfCom, no enforcement whatsoever.

      I've been hearing more iPhone rumors this week, the biggest is T-Mobile has put their rollout plans on hold because they could not show the regulator the required unlocking function or unlocked phones. O2 in the UK is safe, because even though they will be violating laws there, the fines will be years down the road and only then a tiny percentage of the profits made.

      There are no other populous countries in Europe where the iPhone could be sold without an unlocked version. Apple has really shot themselves in the head with this move. By locking themselves out of the largest GSM market in the world, they can't hope to achieve any kind of marketshare.

      the AC

      --
      Hemos is like...sci-fi fans;he thinks technology is cool, but he hasn't bothered to understand the science it's based on
  2. Re:No worldwide exclusivity by Divebus · · Score: 5, Funny

    See? We should have let the Germans keep France.

    --

    Most of the stuff on /. won't survive first contact with facts.
  3. Re:The iPhone will be known as Steve's Folly by jcr · · Score: 5, Insightful

    In the end, the iPhone has turned out to be a real disaster.

    It sold a million units in 75 days. How can I make my next product a "disaster" like that?

    -jcr

    --
    The only title of honor that a tyrant can grant is "Enemy of the State."
  4. errors in summary by venicebeach · · Score: 5, Informative

    This has nothing to do with AT&T.

    Apple has already announced an exclusive deal in France with Orange (France telecom), and it's this deal that is in danger because of the law. Apple is partnered with T-mobile in Germany and O2 in Britain, so this really isn't about any worldwide exclusivity for AT&T.

    AppleInsider's report on this situation.