T-Mobile has entered into an agreement with Apple and will start selling Apple products incuding the iPhone next year.

T-Mobile was the last major U.S. network without the flagship Apple device.

Rene Oberman, CEO of Deutsche Telekom AG, T-Mobile's German parent company, announced Thursday at an investors conference in Germany that T-Mobile and Apple have come to an agreement.

T-Mobile's rivals -- Verizon, AT&T and Sprint -- already sell the iPhone 5, iPhone 4S and iPhone 4, along with cellular versions of the iPad and iPad mini.

T-Mobile USA also said it planned to stop subsidizing smartphones.

The move will cut T-Mobile USA's upfront costs but could also appeal customers, who dislike restrictions on how often they can upgrade their phones under the subsidy model favored by bigger rivals Verizon Wireless, AT&T and Sprint Nextel.

Under the unsubsidized model, T-Mobile's customers will be able to upgrade their phones when they want to by trading in the device.

T-Mobile USA has agreed to merge with smaller rival MetroPCS Communications next year.