iPhones May Not Reach China

November 14th, 2007 at 12:00 am

The Apple iPhone may be the most sought after gadget this year.  It’s selling like pancakes in the US and it’s recent launch in Europe makes all other countries hungry for the phenomenal mobile phone that’s also an iPod and a web browser.


Steve Jobs did mention that his iPhone will be conquering the world one country at a time.  Furthermore, Jobs says that he will always make sure that his products will be his products and nobody is allowed to freeload.

Apple has been in talks with Chinese mobile carriers planning the release of the handset in the world’s largest mobile phone consumer population.  Unfortunately, the iPhone may not actually see the shores of China afterall .  Executives of China’s leading mobile carriers  said that it is "a Chinese rule not to share revenue."  Obviously this rule cramps Apple’s style which they have succesfully implemented with their partners in all countries the iPhone is available.

Though it’s a standing rule in China not to share revenue under any circumstance, it is also a Chinese rule to make a buck whenever a deal is sweet.  Wang Jiangzhou, CEO of China Mobile, said that they are open to the idea of the iPhone being an exclusive phone but as of now they aren’t accepting Apple’s terms.   "You have to realize Chinese SIM cards are not locked up, as the iPhones’ are," says Wang.

The second largest mobile carrier in China, China Unicom says they also do not have any plans to introduce the iPhone in China yet.

So, is this an oppurtunity lost for Apple or China?  Definitely for Apple but for China, they have dozens of alternatives to the iPhone, even an iPhone clone that’s available there.  Now we’ll see who bends over.