According to an article in USA Today, AT&T has successfully negotiated an extension of its Apple iPhone exclusivity in the U.S. to 2010. The original agreement between the two companies had given AT&T U.S. exclusivity until 2009. While AT&T is no longer sharing revenue with Apple, it is paying Apple about USD$300 per iPhone.
As Randall Stephenson, AT&T CEO and chairman, points out, the iPhone has been very good to AT&T. It has sold over 2 million original iPhones and seen a spike in the number of subscribers. iPhone customers also typically spend about twice as much on service plans as the average AT&T customer.
AT&T also plans to sell an unsubsidized iPhone 3G later in the year. Expected to cost USD$599 for the 8GB model and USD$699 for the 16GB model, AT&T has not disclosed when it will begin to offer it though.