The company is partnering with Vodafone India for the launch, which is expected to take place in September. Initial reports claim the 8GB iPhone will be the first model to ship, with a higher-capacity version set to reach the sub-continent in mid-2009. And Vodafone may also pick up the deal as network partner for Australia. “The carrier deal for India is being worked out with Vodafone,” an Apple source, told the Business Standard, adding: “Vodafone could also become the carrier for the Australian market once iPhone is launched there, though more than one carrier is likely for Australia.” Vodafone officially denies any such deal, though company insiders have confirmed it, the report claims. Apple is engaged in a slow expansion into the country, with plans to open a second store in Bangalore and a third in Chennai this year. India is a critical market: the Indian mobile subscriber base is set to almost double to 500 million by 2010, the report explains.