End of carrier exclusivity leads to iPhone price war in France | Cult of Mac

End of carrier exclusivity leads to iPhone price war in France



An iPhone price war currently underway in France may be our first glimpse of what we can expect if, as rumored, AT&T’s exclusivity deal with Apple runs out next year, and the iPhone comes to other carriers.

Earlier this year, Orange’s exclusive right to distribute the iPhone in France was overturned by a court decision from the Competition Counsel, in response to a complaint by Bouygues Telecom. That decision allowed the iPhone to pop up on any carrier that could handle it, and ever since, Orange, Bouygues Telecom and SFR have been slashing the prices of their iPhones to keep up with one another. What this means is that, in France, you can pick up an iPhone on a €40 a month contract for as little as €19.

This is largely a win for everyone except Orange. Consumers get cheap iPhones. Bouygues and SFR get to take their cut from the iPhone pie. And Apple enjoys an explosive sales surge. AT&T’s death grip on the iPhone just can’t end soon enough.


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