Not everyone wants to be associated with the Apple iPhone, Verizon has turned down a deal to be the exclusive distributor of iPhone. But Verizon may be doing that for the right reasons.

Among other things, Apple wanted a percentage of the monthly cellphone fees, say over how and where iPhones could be sold and control of the relationship with iPhone customers, said Jim Gerace, a Verizon Wireless vice president. “We said no. We have nothing bad to say about the Apple iPhone. We just couldn’t reach a deal that was mutually beneficial.”

Apple now has no other choice but to work with Cingular (now AT & T). There are no financial terms made known to the press but reliable sources have said that it is a 5-year, USA-only exclusivity contract. That leaves Apple a free hand to market iPhone to the rest of the world. Whether or not Apple will try to push the same conditions as proposed to Verizon remains to be seen. But I guess Apple will make it a condition that the terms of the negotiation will not be made public for fear it would embarrass Apple the second time should any carrier decided not to dance along with Apple. With all those ridiculous terms and conditions imposed by Steve Jobs, who in the right mind would?

Read [USA Today]