France Telecom In Talks With Apple; Vodafone’s Portugal iPhone Deal Not Exclusive?

France Telecom (NYSE: FTE), owner of the Orange network, is in talks with Apple (NSDQ: AAPL) to sell the iPhone in other countries, according to the company’s CFO Gervais Pellissier. Dow Jones reports that Pellissier revealed that the discussions were for more than “just two countries.” He also said that France Telecom was “pleased with the success” of the company’s exclusive deal with Apple that has another two and a half years to run—quashing recent rumours that the French group had balked at Apple’s supposed insistence that they slash iPhone prices to boost sales. Pellissier also said that he expected a 3G iPhone to boost sales in France, where Orange has sold over 100,000 of the device.

Yesterday, Vodafone (NYSE: VOD) announced it would be selling the iPhone in ten countries. News later surfaced that its deal in Italy is not an exclusive one, after Telecom Italia announced they too would be selling the device. Thomson Financial, meanwhile, picked up a story today from Portuguese newspaper Diario de Noticias, which reported Tuesday than Vodafone’s Portugal deal is not an exclusive one either, though it did not cite a source. Portuguese networks Portugal Telecom and Sonaecom are reportedly still negotiating with Apple over distributing the iPhone.

In Australia Vodafone declined to say whether the deal to sell the iPhone was exclusive, reports the SMH, and it’s a short jump to the conclusion that it is therefore not exclusive. “Mark Novosel, telecommunications market analyst at IDC, said the fact that Vodafone hasn’t announced whether the deal is exclusive indicates the iPhone will be sold by all carriers…He said it is likely Vodafone will sell the iPhone at a discount and lock it to its network, in which case Apple would sell an unlocked version – capable of running on any carrier – through its own stores.”

Vodafone Joins China Mobile, Softbank for Innovation Lab

Vodafone, China Mobile and Japanese carrier Softbank announced an agreement to establish a joint innovation lab to promote the development of new mobile technologies, applications and services. The partners expect the initiative will help to increase usage of mobile Internet services.

In a statement, the three carriers said they plan to use the joint venture “as a platform to develop mobile services and drive innovation and synergy in the industry.”

The lab will focus on projects based on emerging technologies and market demand. The companies said that initially, they plan to use the lab to develop a platform for mobile widgets.

The establishment of the lab is subject to regulatory approvals and certain customary closing conditions.

Vodafone selects Alcatel-Lucent for network convergence in Spain

Alcatel-Lucent (Euronext Paris and NYSE: ALU) today announced it has been selected by Vodafone in Spain to migrate all networking services onto a highly reliable Alcatel-Lucent IP/MPLS based network. The converged network will support broadband data services (GPRS and 3G), signaling and billing traffic, 3G voice traffic as well as future multimedia evolutions. The project, part of a global network transformation to IP, will enable the operator to guarantee end-to-end quality of service, to optimize its network performance and to support new multimedia services.

By evolving its networks to a next-generation infrastructure, Vodafone will support all services on a single network allowing the mobile operator to optimize its investment and operational expenditures, and accelerate the launch of new advanced and convergent services to the market.

“This project provides our network with the reliability and versatility needed to offer our consumer and corporate clients the highest quality and most advanced mobile services on the market,” said Jaime Bustillo, Technology director from Vodafone Spain. “A streamlined network based on the Alcatel-Lucent IP solution allows us to dramatically improve on CAPEX and OPEX while still gaining new revenue opportunities. As well, Alcatel-Lucent is involved in the Vodafone Group’s overall end-to-end IP transformation initiative so from a consistency point of view, the Alcatel-Lucent IP solution is a perfect fit.”

With the Alcatel-Lucent IP/MPLS solution, Vodafone is optimizing the use of bandwidth in its IP core network, that will dynamically be adapted to the bandwidth needs depending on the volume of data and the type of traffic transmitted. Additionally, its intelligent service management capabilities will allow the operator to guarantee reliability and end-to-end quality, and to diversify its offering by establishing differentiated quality of service levels based on the type of client or the use of the network. This is a significant advantage for high bandwidth multimedia services that are very demanding in terms of network performance.

“Users are requesting more innovative and sophisticated �always on’ mobile services with optimal quality and widespread availability which is very demanding in terms of network performance,” said Olivier Picard, President of Alcatel–Lucent’s Europe and South activities. “Offering a service mix of this caliber requires a complete network transformation giving Vodafone the reliability, performance and flexibility of a converged network architecture. Alcatel-Lucent’s unique high availability features in our service routers are ideally geared toward delivering mobile voice services over an IP/MPLS network.”

Alcatel-Lucent is providing Vodafone with an IP/MPLS core and edge network solution based on its next generation Alcatel-Lucent 7750 Service Router and 7710 Service Router along with the Alcatel-Lucent 5620 Service Aware Manager.

Vodafone joins more than 160 service providers in over 60 countries, including massive, multi-year IP network and service transformation projects at AT&T, BT, Cable & Wireless, and Telstra. According to Ovum-RHK, Alcatel-Lucent was #2 in the IP/MPLS Edge market segment in Q4 2006, with 19% market share.