updated 02:20 pm EST, Wed December 26, 2007
iPhone lures customers
Apple's iPhone is helping its UK wireless carrier partner to lure customers from competitors, according to FT.com. O2 CEO Matthew Key says about 60 percent of UK iPhone customers are new to his company, and expressed confidence in the prospect of landing an exclusive deal for Apple's second-generation iPhone with faster 3G wireless service when it ships in late 2008. Key also said he expects 200,000 iPhones to sell in the UK by early January, a number that some analysts are calling conservative.
Key insists that the iPhone is a profitable venture for O2 despite Apple's unusually high revenue-sharing agreement, and is excited about the amount of data services iPhone customers demand from his firm.
Roughly 60 percent of iPhone owners are sending or receiving more than 25MB of data per month, compared to just 1.8 percent of O2's other mobile customers on monthly contracts, according to the report.
O2's chief executive is hoping to have attracted 1 million customers by 2010, a goal that Apple's iPhone could help the company to reach.