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iPhone Attracting Switchers to O2 Network

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TimesOnline.co.uk reports on the apparent success of the iPhone launch in the U.K.

The iPhone reportedly sold "tens of thousands" of units on opening weekend. According to the article, two thirds of Apple iPhone customers were switching from a rival network to O2. With a saturated mobile phone market in the U.K., this sort of subscriber switching could be a big win for the iPhone carrier, though it reportedly came at a price:

The desperation of the main networks Vodafone, Orange, T-Mobile and O2 to gain an edge over each other triggered a fierce battle for the rights to market the iPhone. The losing players maintain that the O2 deal is not economic. The Spanish-owned group is thought to have agreed to an ongoing share of revenues with the Californian giant of up to 30 per cent.

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