IPhone

Apple has launched its long-awaited iPhone, promising to revolutionise the mobile phone market.

The device, a combined widescreen iPod, mobile phone and internet communicator, is just 11.6mm wide, with a touch screen and no button.

It will allow users to play music from iTunes and take photos.

Also revealed at the annual Macworld Expo was Apple TV, a device to stream music and movies from a computer to the living room.

Apple founder Steve Jobs told delegates at MacWorld in San Francisco: "Apple has reinvented the phone."

Apple shares were up 3% on the announcement.

Intel success

In a keynote speech, attended by more than 2,000 people, Mr Jobs spent the first 10 minutes bigging up the move to Intel chips.

He said more than half of Mac sales were to people who had never owned a Mac before.

There were the usual statistics about iPods and iTunes, including the claim that iPods had become the world's most popular video player and that iTunes had passed the two billion milestone.

The move to offer movies via iPods seems to have paid dividends. More than 1.3 million movies were sold in the first four months of the partnership with Disney.

A new partner - Paramount - was also announced and other movie studios are expected to join soon.

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