Apple is targeting Italy, Spain and Switzerland for the next phase of its iPhone expansion plans, with at least one announcement due at Mobile World Congress (MWC) next week.

The MWC announcement should see Apple partner with Telefonica, Spain's largest mobile phone network, to offer the phone foe sale over there. MWC coincidentally takes place in Barcelona, Spain next week. Telefonica is also the parent company of O2, which has the iPhone contract in the UK.

Apple is also close to signing iPhone deals in Italy where it may partner with Telecom Italy Mobile (TIM). Swisscom Mobile is the most likely iPhone recipient in Switzerland, according to Macworld UK.

Apple claims to have sold 3.7 million iPhones since the device when on sale last summer, with the overwhelming majority going to AT&T customers in the USA. O2 says it has sold 290,000 iPhones in the UK to date, with Orange France and T-Mobile Germany totting up sales of 70,000 apiece.