The mobile phone market has been revolutionized with the iPhone, unveiled by Apple’s boss Steve Jobs at the annual Macworld Expo in San Francisco. Users will now be able to download music and videos with the help of the iPhone.

The phone will come in two versions - one with 4GB of storage space, the other with 8GB .The costs will range anywhere from $499 (£257) to $599. Apple is not yet revealing how much the iPhone will cost in the UK, but using the comparison of a Mac mini computer’s 4 gigabyte (GB) model it is estimated around £335.

The announcement ended months of speculation about the iPhone, which has no conventional buttons, instead uses a large touch-screen. The firm has patented keyboard technology on the 11.6mm thick phone, calling it "multi-touch". It is essentially a computer with a blank screen that users configure so they can operate the monitor with their fingers. The iPhone uses the ultimate pointing device –our fingers- to create the most revolutionary user interface since the mouse.

A full touch keyboard is available for text messaging and there is a built-in two mega pixel camera. Mr Jobs called the iPhone a "revolutionary and magical product that is literally five years ahead of any other mobile phone. It works like magic... It's far more accurate than any touch display ever shipped. It ignores unintended touches. It's super-smart. The iPod changed everything in 2001. We're going to do it again with the iPhone in 2007."

The phone will be available on the network of US mobile firm Cingular and will run Apple's OS X operating system.

Source: news.bbc