UK set for three-way iPhone cost conflict

iphone
Vodafone on Tuesday announced it would start selling Apple's admired iPhone in the UK from early next year, in a move that should boost efforts to turnround the mobile operator's ailing British business.

It means there will be three UK mobile operators selling the US expertise company's iPhone from next year: Vodafone, Orange and O2.

Some analysts said a price war over the iPhone could ensue, making the comparatively expensive handset more reasonable for consumers.

But the operators, if they increase subsidies for the iPhone so as to maximise sales, would face higher working expenses.

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