O2 lands iPhone deal

Mobile phone operator O2 will be the only option for UK iPhone users
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The battle to be the operator for iPhone mobile phone contracts has been won by O2 after Vodafone rejected Apple's commercial terms, according to the Times online.

However, the reason for Vodafone pulling out, combined with the news that the volume of data traffic caused iPhone's US operator AT&T's network to crash earlier this week, raises the question of how Phyrric O2's victory is.

"Apple’s agreement with O2 is thought to include a continuing share of the revenues generated by each iPhone customer. O2 ’s network will also have to be specially configured to accommodate the Apple handset," said the Times.

It also speculates that the device will be available in the UK in time for Christmas, initially just through Apple and O2, but subsequently through other retailers.

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