The exclusivity deal between the U.S. group and Orange owner France Telecom over the latest generation 3G device was set to run for five years, although Apple had an exit clause after three years. The Competition Council suspended the deal on Dec. 17, similar to ones struck by Apple in several markets, saying it risked "serious and immediate damage" to competition on the French mobile market, due notably to its "excessive" length.

Reuters notes that France Telecom, which has argued the watchdog had "put the market economy into question", said in an email it was "surprised" at the failure of its appeal and will lodge another appeal with France's highest court, the Cour de Cassation.

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