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O2 plans to run down stocks of iPhone

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O2 is looking to clear its stocks of iPhone handsets, amid rumours that a new version of the multi-million selling phone will appear later this year.

Yesterday, the Observer reported that the mobile phone network is looking to sell off its remaining stockholding of the phones before a new version curtails demand for the current edition.

Also thought to be influencing the move is the possibility that O2 could be stripped of its deal with Apple which gave the firm exclusive rights to sell the iPhone in the UK.

In a bid to ensure that the take up for the remaining stock is strong, O2 has earmarked the majority of its advertising budget for iPhone-related campaigns and has begun offering iPhones to existing customers who renew their contracts.

News of developments comes ahead of the technology expo the Worldwide Developers Conference during which Apple is expected to unveil the latest version of its handset.

O2 has come in for criticism from some UK iPhone owners for what were regarded as disappointingly slow browsing and download speeds on the 3G device.

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