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French iPhone deal off?

Orange is reportedly refusing to pay Apple 40 per cent of subscription revenues, something that could jeapardise the device going on sale in time for Christmas

France Telecom, Orange's parent company, is reportedly refusing to pay Apple what it wants for the iPhone deal in France.

France Telecom and Apple are apparently arguing over the percentage of revenues that Orange has to pay Apple as part of the Apple iPhone distribution deal, Reuters says. Apple has asked for a 40 per cent share of subscription revenues from Apple iPhone users.

If the firms fail to reach an agreement in the very near future, then chances are the French launch of the Apple iPhone will be delayed, possibly until after Christmas.