Nokia mulls over iPhone revenue share model

Apple's iPhone is making the revenue share business model more common place.  According to a report in the Frankfurter Allgemeine Sonntagszeitung, Nokia CEO, Olli-Pekka Kallasvuo, is looking to emulate the iPhone business model when it comes to providing new services to mobile operators.

While this move is likely to cause equal amounts of dismay and anger within the operator community, according to Kallasvuo the company would not alter its model with regard to supplying handsets. "However, for providing new services we are seriously considering a shared turnover model." This viewpoint comes after Nokia announced last week its new 'DRM-free' music services and the recent purchase of the mobile mapping developer Navteq for US$8 billion.

While Nokia has established a dominant position in many markets, its relationships with operators has been 'delicate' at times due to the company adopting strong-arm negotiating tactics. Some industry watchers believe that Vodafone's unsuccessful attempt to overturn T-Mobile Germany's single-source contract for the iPhone was partly driven by its desire to squash this move towards sharing its revenues with handset vendors.

For more on this story:
- read PocketLint and ARStechnica

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