Verizon, the number 2 U.S. cellular operator, rejected a deal with Apple to carry their iPhone on their network almost two years ago, according to USA Today. The sticking points were Apple's desire to get a cut of subscription fees and to control how and where phones could be sold.
Jim Gerac, Verizon's V.P:
Apple then went into "the waiting arms" of Verizon's rival and top U.S. carrier Cingular. Among the controls and stipulations that Apple demanded were that the phone not be sold in Wal-Mart, Best Buy or other Verizon distributors, and that Apple have discretion over replacement and repair of defective handsets. This is interesting because Wally World is also a Cingular distributor, and a Cingular spokespan refused to tell USA Today whether their distributors would be allowed to carry the iPhone.
Verizon Rejected Apple iPhone Deal [USA Today via MacWorld]
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