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errorHow the Apple iPhone will affect the mobile phone market
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US firm Apple has confirmed its move into the telecoms industry unveiling the longawaited iPhone.

Users will be able to download music and videos with the phone demonstrated by Apple boss Steve Jobs at the annual Macworld Expo in San Francisco.

Mr Jobs praised the phones design and told the audience the magical device would revolutionise the industry.

The phone which will cost from $499 (257) to $599 will be launched in the US in June and Europe later this year.

Apple is not yet saying how much the iPhone will cost in the UK but using the comparison of a Mac mini computer the 4 gigabyte (GB) model would be about 335.

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

Supersmart

The announcement ended months of speculation about the iPhone which has no conventional buttons but instead uses a large touchscreen.

The firm has patented keyboard technology on the 11.6mm thick phone calling it multitouch.

It is essentially a computer with a blank screen that users configure so they can operate the monitor with their fingers.

But as the hype piled up Jobs told us we were witnessing history and he was going to reinvent the telephone some doubts crept in.

Rory CellanJones

We are all born with the ultimate pointing device our fingers and iPhone uses them to create the most revolutionary user interface since the mouse said Mr Jobs.

A full touch keyboard is available for text messaging and there is a builtin two megapixel camera.

Mr Jobs said the iPhone was a revolutionary and magical product that is literally five years ahead of any other mobile phone.

It works like magic... Its far more accurate than any touch display ever shipped. It ignores unintended touches. Its supersmart.

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