iPhonAsia comment: Interfax.cn is out with more details over a purported breakdown in talks between Apple and China Mobile. At the heart of the theorized disagreement is who controls value added services and the app store. iPhonAsia outlined the essence of this issue in our Saturday post (02/08/2009) – Read > HERE
iPhonAsia has engaged in dialogue with Cindy Geng, the Interfax reporter who wrote the story below. Cindy Geng also reported on January 16, 2008 that China Unicom was in talks with Apple over iPhone. Read iPhonAsia comments at the end of Cindy Geng’s post > HERE
Interfax.cn Excerpt: Beijing. February 9. INTERFAX-CHINA – China Mobile’s insistence on administering the online sale of iPhone applications caused the breakdown of the operator’s talks with Apple over bringing the iPhone to China, a source at the China Mobile Research Institute told Interfax recently.
The source, who wished not to be identified, said that Wang Jianzhou, president of China Mobile, revealed details of China Mobile’s talks with Apple on a recent visit to the institute.
Wang said China Mobile had undergone three rounds of talks with Apple officials, including Apple CEO Steve Jobs and COO Tim Cook, over an 18-month period, according to the source.
Read full post by Cindy Geng > HERE
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MocoNews.net Excerpt: According to Interfax, which cites a source at the China Mobile Research Institute quoting the carrier’s president Wang Jianzhou, the 18-month old negotiations, which included Apple CEO Steve Jobs and COO Tim Cook, broke down three times. In the latest round (their third) the two haggled over which company would sell iPhone applications directly to customers. As it does everywhere else, Apple wanted to sell directly to consumers through its App Store. China Mobile chiefs, however, balked at this. Wang apparently considered the notion of Apple interacting and directly collecting payment from Chinese consumers as a “threat” to the operator’s dominance over the country’s mobile internet market. …… “Wang said China Mobile should operate the application store itself in order to maintain its advantage,” the source told Interfax. Wang also questioned whether Chinese consumers would pay for apps with their credit card, not a payment model typically used in China, where people are more used to depositing money into their mobile account to pay for things. If this scenario went forward, China Mobile would have to have a role in selling the apps.
Read full post by Dianne See Morrison > HERE