Russian mobile operators stop selling Apple's iPhone, report says

Credit: Reuters/Alexander Demianchuk

A customer looks at a display of handsets for sale inside a MegaFon shop in St. Petersburg November 15, 2012.

Vimpelcom ended negotiations with Apple over iPhone sales this month as the U.S. company would not soften its contract terms, the paper said, citing a person close to the operator.

MTS ended its contract in June but is in discussions with Apple about resuming iPhone sales, the paper said, citing the company without specifying who gave the information.

Megafon had ended its contract with Apple, the paper said, without citing a source.

MTS, Megafon, Vimpelcom and Apple did not immediately respond to requests for comment.

The operators were hurt by the fact that Russia doesn't allow subsidies for handsets, making the phones too expensive for the average customer, the paper reported.

Apple, which has a 4.5 percent share of the Russian smartphone market, can still sell in Russia through its own resale stores and other mobile phone retailers, the Financial Times reported.

(Reporting by Megan Davies; Editing by Bernadette Baum)