Telecommunications giant O2 has won the exclusive rights to sell Apple's iPhone in the UK.

The wireless and mobile broadband-enabled telephones will be sold through O2 and Carphone Warehouse outlets as well as Apple's store network.

Owners of the devices will be able to surf the internet for free through 7,500 Wi-Fi hotspots, which will be provided by TheCloud.

They can also browse web content through the users' home wireless connections

Contracts run for 18 months, at price points of £35 for 200 minutes and 200 text messages, £45 (600 minutes and 500 texts) and £55 (1,200 minutes and 500 texts).

All three contracts offer unlimited mobile data usage.

Matthew Key, chief executive O2 UK: "Our strategy at O2 is to bring our customers the best products and experiences. The iPhone is a breakthrough that is changing the way people use their mobiles forever, and we’re thrilled to have it exclusively for O2 customers in the UK."

The iPhone itself will sell for £269.