O2 to Launch Multi-Million Pound Ad Campaign for iPhone

O2 UK and Apple are planning on launching a multi-million pound joint advertising campaign later this month according to a Reuters report.

O2 UK Chief Executive Matthew Key told a journalists on Tuesday it would be the company's "most significant campaign" in the run-up to the key Christmas trading period -- but that it would cost well short of 20 million pounds ($40.8 million).

Key believes that 80% of O2 UK's high-value customers wanted an iPhone while 40% of the higher-spending customers on rival networks are prepared to switch to get the iPhone.

Despite reports of generous revenue sharing back to Apple, the Key states the deal is "absolutely" profitable for O2.