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Did Verizon Pass On The iPhone

Did Verizon Pass On The iPhone?

Many sites are speculating that Apple's demands were just too much for Verizon forcing them to pass on the iPhone.

USA Today reported that Apple wanted 1 percent of monthly cellphone fees. Additionally, they wanted control over how and where the iPhone was sold. In normal manufacturer, telco relationships, the wireless provider is the owns the customer who purchases the handheld device. According to reports, Apple wanted to "share the customers". There is no concrete evidence, but many sites are speculating these demands were simply too much for Verizon, thus rejecting the iPhone. Cingular has already made concessions to Apple and could reap the rewards as many will switch providers for the iPhone.

Update:It has been confirmed that Verizon did pass up the iPhone judging that a five-year exclusive sales deal came with too many strings attached."Quite frankly, we're happy we're not the first to market with the iPhone," Verizon COO Denny Strigl said on a conference call with analysts Monday. He cited terms that would have had Verizon sharing a cut of the monthly subscriber fees and letting Apple handle customer disputes.

Thanks Newlaunches via Gizmodo!

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