Apple trying to expand iPhone presence in China

Apple is wasting little time in expanding the reach of the iPhone in China.

Just two weeks after signing a deal with China Unicom, Apple is once again in talks with rival China Mobile to offer the iPhone as well.

China Mobile Chairman Wang Jianzhou confirmed that his company is in talks with Apple to offer the iPhone, according to a report in The Wall Street Journal on Monday. Unlike in some countries, like the United States, where carrier agreements tend to be exclusive, the deal with China Unicom is nonexclusive.

This leaves Apple open to negotiate with as many carriers as it wants in that market. This is both good and bad for Apple.

China Mobile, China's No.1 carrier, has 141 million subscribers, the Journal reported. That's more than triple the subscribers of No. 2 carrier China Unicom. Obviously, getting the iPhone into the hands of China Mobile customers would have great economic and market-share benefits for Apple.

However, as the Journal points out, Apple would need to make some changes to the iPhone in order for it to work on China Mobile's TD-SCDMA wireless platform. The other option is to leave the iPhone as is and let it run on the carrier's slower 2G platform.

[Lennron]

I hate how so many cell phones are exclusive to just one provider. I wish I had the opportunity to buy whatever cell phone I want no matter what provider I'm on. I'm assuming many Chinese people would feel the same way. I say they should go for the #1 company, and while they're at it, they #3, #4, #5, etc. Assuming China has that many providers.

[cvaldes1831]

Apple's agreement with China Unicom is non-exclusive.

And it's not as simple as Apple just tossing a contract on a table and saying "sign here." Apple had to disable WiFi on the China Unicom phones.

Allegedly, China Mobile has insisted on running its own App Store, something that Apple has not yet caved to. Also, China Mobile has concocted their own proprietary version of 3G, incompatible with the rest of the world in order to avoid paying licensing fees for the worldwide 3G standard. Apple would probably have to disable WiFi or design new parts to make it compatible with the state-approved secure WiFi standard.

[ppgreat]

"... Apple would need to make some changes to the iPhone in order for it to work on China Mobile's TD-SCDMA wireless platform. The other option is to leave the iPhone as is and let it run on the carrier's slower 2G platform."

For the size of that market, I can't imagine that Apple would settle for the slower 2G platform.

[Mr. Dee]

Its one of the things l love about the Chinese, they take orders from no one. You want your little gimmick on our network, you better do it our way or stay away.

[ckh1272]

Let's see how you would feel if they said the Xbox360 could not use WiFi. Could you actually make a productive statement for once? Relating to anything outside of Microsoft, I somehow doubt it since you have yet to prove it. Case and point is that silly comment above.

[EarthToApple]

@ ckh1272

Are you slow to process information & blind in one eye?
I do not see any relation from Mr. Dee's comment to Microsoft, You are case and point for the argument that people should have an IQ exam preformed before admission to this site is granted.

[play7]

Indeed and look at how cheap and cheapy the products are.

[Crankypaul]

How about they increase their presence in the good ole USA by trashing the AT&T deal and opening things up. I predict an immediate 30-35% increase in sales as soon as that happens.

[joetesta70]

So $teve Job$ is going to help the communist Chinese oppress and censor its citizens for a quick buck.

There's a new evil empire in town.

[gggg sssss]

The piece or cr*p is made in China. What is the big deal if it is sold there? Does he actually think he is going to get money OUT of china?

[play7]

good point............