It is reported several days ago, Apple intends to develop embedded SIM which allows users to activate their devices a broad array of carriers without requiring extensive interactions directly with the carriers. For supporting the notion, GSMA announced on Nov. 18th that it is launching a task force to study the related technology. The GSMA-led task force comprises a group of leading technical experts drawn from operators including AT&T, China Mobile, Deutsche Telekom, France Telecom Orange, KT, NTT DOCOMO, SK Telecom, Telecom Italia, Telefónica, Verizon Wireless and Vodafone. It will work in cooperation with major SIM producers. The group is expected to complete the analysis of market requirements by January 2011, and the new SIM activation capability is expected to appear in 2012.

While on the same day, Financial Times reports that several European carriers are threatening to withhold their iPhone subsidies if Apple deploys the technology on the iPhone. As we all know, the iPhone’s wholesale price is about $600, but the operators charge customers much less and sometimes nothing if they sign up to network contracts that can last two years. These operators' subsidies have enabled Apple to maximize sales. Expected by Robin Bienenstock, analyst at Bernstein, Apple's global iPhone sales could be cut by up to 12 per cent if the operators refused to provide subsidies for the smartphone.