3G iPhone set for May release- Rumour

Tue Nov 20 2007, 02:37 AM

Apple is to launch a 3G version of the iPhone in May 2008, according to Spanish technology firm SevenClick, although the technology giant is unable to deliver existing handsets to Spain in time for Christmas. A shortfall in handsets has led Telefonica to confirm that a pre-Christmas release of the existing iPhone will be postponed until next year. The delay has been put down to lack of supply, as well as attempts by Telefonica to negotiate down the 30% subscriber revenue cut demanded by Apple. It has also, however, been alleged that the delay is in part due to Apple's focus on preparing the second generation of iPhone for release next year.

Apple is understood to be unmoving on the high subscriber revenue percentage, but Telefonica still hopes it can bargain down the cost prior to release. Although a 3G version of the phone is eagerly anticipated by May 2008 similar competing devices are expected to be on the market and no details were disclosed as to other features that might make a new version of the handset more competitive.