Apple began selling its iPhone in France on Wednesday exclusively through carrier Orange.

Orange, a subsidiary of France Telecom, expects to gain between 400,000 and 500,000 subscribers in its first year, Didier Lombard, the parent company's Chief Executive said at a press conference. He said the figure is in the middle range of the company's forecasts, AP reported.

The iPhone combines the functions of a cell phone, an iPod media player, and a wireless Internet browser. Users can operate the unit by using a touch screen to move through menus.

An unlocked version of the iPhone will sell for 649 euros ($963). The unlocked phone in Germany costs 999 euros through carrier T-mobile.

Orange said it will share revenue from iPhone subscriptions with Apple, but declined to specify further.

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