TELSTRA has emerged as the favourite operator to offer the hotly awaited iPhone.

Telstra CEO Sol Trujillo this week confirmed talks had already begun with Apple, which plans to launch the handset in Australia next year.

Mr Trujillo said Telstra would be interested in the device if it delivered an enhanced experience for their customers.

"The answer is simple: yes we'd be interested and we're exploring that option," he said.

"We've had conversations with Apple and a lot of others and what's interesting now is that everybody's now responding to the Apple iPhone.

"Almost every supplier has big plans in the next six to 12 months with their version of an iPhone in response."

The Next G network operates at the rarer 850Mhz frequency and requires specialised handsets.

Mr Trujillo predicted Apple would produce a compatible iPhone.

"The company they introduced the iPhone with in the US is Cingular and obviously we have a very good relationship with Cingular (now called AT&T)," he said.

Apple has sold more than 1.4 million iPhones in the US since its launch in late June.

AT&T, the exclusive operator, agreed to a revenue-sharing deal on all data and voice calls.

Figures reveal about 20 per cent of iPhones sold were unlocked by users who either had existing plans with competing networks or who lived in other countries, including Australia.

Mr Trujillo said deals struck between Apple and AT&T in the US, O2 in the UK, T Mobile in Germany and Orange in France - all believed to involve revenue sharing - would have no bearing on a possible deal between Apple and Telstra.

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