The UK mobile phone service provider O2 has been reported to soon be signing an exclusive deal to sell the Apple iPhone. This means the phones should be secured for sell in time for Christmas in the UK. However, as yet, no contracts have been offically signed. Although Vodafone had previously been thought to have secured their bid for this contract, Vodafone’s shares have recently fallen by 2.4%.

[via BBC]

O2 (UK) provides cell phone / mobile phone and other wireless services to about 14 million customers in the UK and now also oversees the O2 Online unit, which is a top mobile internet business. O2 (UK) currently accounts for approximately 60% of parent company O2’s revenues.

If O2 successfully signs the contract, the iPhone will be expected to retail in the UK for approx. £300, this will certainly pose a great advantage over rival networks.