Dec 11, 2007 • 1 min read

Nokia may make revenue share demands on phone networks

Nokia chief Olli-Pekka Kallasvuo says the firm could demand revenue shares from networks on phones bundled with content services such as Comes With Music.

The chief of Nokia has said that he can see his company following Apple's lead in demanding that mobile firms give them a cut of ongoing subscription charges when they secure custom because of a Nokia device.

As previously reported, word has it Apple's exclusivity deals with phone firms like O2 in the UK and T Mobile in Germany see the tel cos passing a cut on ongoing phone charges to the computer firm over and above the initial cost of the phone. Nokia chief Olli-Pekka Kallasvuo has said he can see his firm demanding similar cuts - not on basic phones - but on phones that come bundled with content services, such as phones which include the previously reported Comes With Music package (where phone owners get a year's free access to a big catalogue of tracks).

Speaking to German newspaper Frankfurter Allgemeine Sonntagszeitung, Kallasvuo said: "'When it involves mobile phones, we'll be staying with our existing business model, which means getting paid for the device itself. But where we provide new services [like Comes With Music], a turnover share is entirely possible".

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