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China Mobile Seeks Apple App Store Revenue Share in iPhone Deal

Apple has made deals with almost all major wireless carriers in the world. But, unfortunately it hasn't managed to strike a deal with China Mobile carrier service to launch its iPhone in China.

Shaw Wu, an analyst at Sterne Agee by citing some industry sources claimed that China Mobile is looking for a part of revenue that Apple makes from their App Store against the deal that will bring Apple's iPhone into its network reported All Things D (opens in new tab).

This very idea has been denied by Apple and now there is a deadlock between these companies.

China Mobile is very critical for Apple iPhones. Earlier their executives addressed Asia as a key area for growth and China Mobile, which has over 628 million wireless subscribers, can improve Apple's financial outcome dramatically. Thus, this was an important part of Apple's future strategy.

Apple Inc. has been in talks with China Mobile from 2008 but, none of the talks have proved fruitful. President of China Mobile, Wang Jianzhou, blamed Apple's desire for bigger control for the failure of the talks.

Jianzhou, when he met Steve Jobs earlier this year, said, "common wish of China Mobile and Apple to come to an agreement as soon as possible".

Ravi Mandalia

Ravi Mandalla was ITProPortal's Sub Editor (and a contributing writer) for two years from 2011. Based in Ahmedabad, India, Ravi is now the owner and founder of Parity Media Pvt. Ltd., a news and media company, which specializes in online publishing, technology news and analysis, reviews, web site traffic growth, web site UI. Ravi lists his specialist subjects as: Enterprise, IT, Technology, Gadgets, Business, High Net Worth Individuals, Online Publishing, Advertising, Marketing, Social Media, News, Reviews, Audio, Video, and Multi-Media. He has also previously worked as Dy. Manager - IT Security at (n)Code Solutions.