China Mobile has made it clear that it is no longer in talks with Apple to distribute the iPhone in China.
Gao Nianshu, general manager of China Mobile’s data department, is reported as saying that the company could not agree to Apple’s revenue-sharing demands, which allegedly were as high as 30 per cent.
He also said that China Mobile doubted Apple’s „prowess in communications technology“, according to the Financial Times.
This presumably doesn’t rule out China Unicom being a contender. China is a huge market and I’d assume that Apple would be keen not to miss out on it entirely.