China Mobile, Apple Yet to Open Formal Talks over iPhone Launch

China Mobile says that it has not started formal negotiations with Apple over the iPhone, despite the intention of both sides to cooperate. Disputes over business models and commercialization have delayed informal contacts moving to formal negotiations.

No time frame was available either at the moment, China Mobile Chairman Wang Jianzhou told the official Xinhua news agency on the sidelines of 2008 conference of the Boao Forum for Asia on Saturday in China's southern Hainan Province. "Our door will remain open as long as there is customer demand," he said.

Talks between the two companies had been reported in January - although these were later played down by Apple as not substantive. Market watchers and analysts had said a breakdown in talks between Apple and China Mobile could open the way for rival China Unicom to offer the iPhone exclusively in mainland China. At the time of the reports, an unnamed senior official said China Mobile was unwilling to accept Apple's request for a 20% to 30% share of China Mobile's user fees from future iPhone users

In related issues, Wang said China Mobile subscribers currently totaled more than 380 million, with ongoing growth mostly fueled by consumers in the rural areas. Of the total, over 200 million China Mobile users have used their phones to download music or songs, he said.

On the web: Xinhua

Posted to the site on 13th April 2008