Operators O2 and Orange have reacted to plans by Nokia to embed Skype in handsets and may refuse to stock the N97.

Skype is linking up with Nokia to embed its calling software in the Finnish company’s new handsets.

Initially this will be the N97 by Q3 2009 and also, later, in other N-series devices.

However, the deal, which was announced at the Mobile World Congress in Barcelona, has angered UK operators Orange and O2, according the Mobile Today.

It reports that the two operators are considering refusing to stock the N97 unless Nokia strips out the Skype client.

Key to their concern is ownership of the customer and potential lost revenue from calls from Skype’s VoIP service.

Rival operators 3 UK and T-Mobile UK are said to be backing Nokia and Skype’s partnership.

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