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Apple may need to pay for right to use iPhone branding in Brazil

SAO PAULO -- Apple Inc. likely will have to pay a Brazilian company for the right to use the iPhone brand in Latin America's biggest country, a Brazilian telecommunications analyst said Thursday.

Brazil's Gradiente SA started selling Android smartphones with the iPhone brand last week after winning the legal right to use the name in Brazil.

“The most likely scenario” is that the two companies will reach an agreement whereby Apple will pay Gradiente for the use of the brand,” said Eduardo Tude, president of Brazilian telecommunications consultancy Teleco.

Apple spokeswoman Maria Parra Rodriguez said the company would not comment on the matter.

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