T-Mobile USA, the only major U.S. wireless carrier that doesn't offer the iPhone, will begin distributing it next year, news sources report.
T-Mobile executives have said that not carrying the iPhone has contributed to T-Mobile losing valuable contract customers to its competitors. T-Mobile said the agreement with Apple fills a key competitive gap, the Wall Street Journal reported.
"We have now added the final piece to the jigsaw to boost the competitiveness of T-Mobile USA sustainably," Rene Obermann, chairman of T-Mobile's parent company Deutsche Telekom, said, as the Wall Street Journal reported.
Already, 1.7 million iPhones run on the T-Mobile network. The AT&T version of the iPhone can work on T-Mobile because it runs on similar network technology, but because the wireless frequencies are different, using the iPhone on T-Mobile's network tends to be a much slower experience, the Wall Street Journal reported.
The terms of the deal with Apple were not announced. New T-Mobile CEO John Legere said that the launch of the iPhone would occur in "several months," CNN reported.
The terms of T-Mobile's iPhone deal with Apple were not announced. Legere said the agreement will be profitable by 2014 because T-Mobile will not offer subsidies on the phone, CNN reported.