Apple's iPhone running into European roadblocks

With Apple, Inc. (NASDAQ: AAPL)'s iPhone setting the stage to become a phenomenon in Europe like it has in the U.S., some minor glitches are starting to unravel in the company's plans there. This week, a German court wanted T-Mobile (part of Deutsche Telekom AG) to change the way it markets the iPhone. Unlike in the U.S. -- where Apple and AT&T have a five-year exclusive partnership -- things aren't that easy in the world of European "open market" wireless.

In other words, the German court doesn't want T-Mobile to sell the iPhone only in conjunction with a two-year service contract (the same deal AT&T gives U.S. iPhone customers). The court, in addition to that rather-large order, also asked that the T-Mobile version of the iPhone be opened up so it can work with other wireless providers. Ouch!

European wireless giant Vodafone is most likely to blame here, as it had a gripe with T-Mobile's marketing plans.
T-Mobile says that it reserves the right to claim damages from any moves Vodafone makes that would impede iPhone sales, but this is just the beginning. Apple's tight grip on revenue sharing from each mobile partner it signs a contract with may not fly in some parts of the world -- something Apple should know by now. But that's the power the iPhone has -- wireless carriers will do anything to offer it to customers.