New York - Verizon Wireless, the second-largest U.S. wireless carrier, passed on an offer nearly two years ago to become Apple's exclusive partner in distributing its iPhone -- a deal later accepted by rival and largest U.S. carrier Cingular, USA Today reported.

Verizon Wireless vice president Jim Gerace told USA Today that Apple wanted "a percentage of monthly cellphone fees, say over how and where iPhones could be sold and control of the relationship with iPhone customers."

Said Gerace, "We just couldn't reach a deal that was mutually beneficial." Gerace added that the retail exclusivity demand would have negatively affected Verizon partners like Wal-Mart and Best Buy.

Apple's iPhone is slated to become available exclusively for Cingular subscribers in June for about $500.

Related Links:
http://www.usatoday.com/tech/news/2007-01-28-verizon-iphone_x.htm
http://www.apple.com/iphone