Vodafone today failed in its bid to block a German rival from selling Apple’s iPhone exclusively.

A German court ruled that T-Mobile could exclusively market the phone. It dismissed a temporary injunction against the German group, barring it from selling a phone ‘locked’ to other networks, which was issued at the request of Vodafone.

The British group - which had claimed the tie-up breached local competition laws - could now face a substantial claim for damages from T-Mobile.

Apple could have been forced to rethink its controversial business model for the iPhone if Vodafone had won the case.

The Californian group had deliberately sought to maximise revenues from the gadget - a combined iPod music player, mobile phone and internet surfer - by sealing exclusive operator deals in each European market.

Competition laws in France have already forced Apple to open-up the phone to other networks there despite having agreed an ‘exclusive’ deal with Orange.

Consumers in France will have to pay an additional €100 to use the phone over a rival network .

A spokesman for Vodafone said: “The intention of the legal action was to ensure clarity on the commercial postion in the German marketplace.

"We have not received the written ruling but we will be examing it closely to decide on any future actions.

“Vodafone Germany does not believe that the pricing model is in the best interests of the German consumer.”

The group said it is considering whether to appeal the ruling.

Analysts believe the case was a mischevious effort by Vodafone - which itself failed to pick-up a single iPhone contract anywhere in Europe - to disrupt T-Mobile’s sales strategy during the critical pre-Christmas sales period.

Times Recommends

• Lies and cover-up at MG Rover exposed by report
• High oil prices push manufacturing costs up
• Primark founder steps down as chief executive