11/15/2007 10:58:00 AM
Vodafone sets up revenue share
Vodafone UK CEO Nick Read has indicated that the operator will enter into revenue-share arrangements with manufacturers over the next 12 months.
Speaking exclusively to Mobile, Read said: 'I think manufacturers are starting to understand that working in collaboration will end up with one plus one equalling three.
'I don't think it will go to a pure revenue-share model, but a component of revenue share entering the equation to cap the cost of hardware loss up front. I certainly see people interested in that. And I am certainly interested because it aligns our commercial interest.'
Asked if these discussions were progressing well, Read said: 'Do I see those types of arrangements in the next 12 months? Yes.'
Read added: 'If the customer lifetime value goes up, there is more overall value to share.'