Major operators reject Apple’s SIM plan


23 Nov 2010

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Apple’s plans to exclude operators such as Vodafone and O2 have been scuppered as the phone operators threaten to cease subsidising the cost of iPhones.

Apple’s plan was to bypass the operators, who currently pay Apple the full cost for their portable devices, which they then pass on to the customer under lengthy contracts, according to an article on Telegraph.co.uk.

Apple had planned to integrate a SIM card into iPhones so that consumers could purchase the device without having to sign up to operators’ contracts.

The move by the networks has seen a cautionary retreat from the technology giant, whose plans might have generated more competition between service providers.

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