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Apple iPhone Event: The Live Blog

This is the live blog of Monday's Apple iPhone event from San Francisco, California. The first post is at the bottom and the most recent at the top. If you want to read from beginning, cursor down to the end of the page.

2:58 PM EST: As I wrap this up, Jobs says the newest version of iPhone took 18 months to design. A big thank you to the huge team of engineers responsible.

Thanks for checking back here. Now it's time to ice these thumbs! Thanks for reading! Live blog is now over.

2:53 PM EST: I had to do a quick live update for TV, so I've been out of the room for a bit.

2:46 PM EST: He's now showing a video summarizing iPhone 4.

2:44 PM EST: Unveiling some accessories. iOS4 upgrades for iPhone 3GS and 3G, though not all features will be supported. Upgrades will be free on June 21st.

2:43 PM EST: New iPhone 4 on sale June 24. Pre-orders start a week from tomorrow. Shipping in five countries in June, and in July 18 more! That's an enormous simultaneous roll-out. By Aug, 24 more countries, and by Sept, 40 more. Apple's fastest roll-out ever.

2:42 PM EST: iPhone 4, $199 in US for 16 gigs, $299 for 32 gigs, in either black or white. AT&T will make an incredibly generous upgrade offer: if your contract is up any time this year, you are eligible for a new iPhone 4 with a new 2 year agreement.

2:41 PM EST: The biggest leap we've taken since the original iPhone, says Jobs.

2:40 PM EST: This is one of those moments that remind us why we do what we do, says Jobs. FaceTime will become an open industry standard, says Jobs.

2:39 PM EST: Now showing a TV commercial featuring FaceTime.

2:36 PM EST: We call this FaceTime Video Calling. Anywhere there is wi-fi, and no set-up required.

2:35 PM EST: Jobs says he grew up watching the Jetsons, and video-calling was a dream. Today it's real, says Jobs, especially if people turn their wi-fi off.

2:34 PM EST: One more thing! Jobs says in 2007, Jobs called Jonathan I've, Apple designer on stage. He's doing so again via VIDEO PHONE CALLING. Welcome to the new era of mobile video phone calling. Very cool. Connection seems solid, but wi-fi issues are making it a little spotty

2:32 PM EST: Jobs says Apple now has about 48 percent of the mobile advertising market through iAds, based on market predictions from JP Morgan. And in only 8 weeks.

2:31 PM EST: Already, advertisers have purchased $60 million in under 8 weeks.

2:29 PM EST: Nissan will also give away a Leaf, but users have to enter the contest by going through an iAd.

Apple CEO Steve Jobs demonstrates the new iPhone 4.
Getty Images
Apple CEO Steve Jobs demonstrates the new iPhone 4.

2:27 PM EST: Showing the Nissan ad for the new all-electric Leaf vehicle.

2:26 PM EST: Apple sells and hosts the ads. All you have to do is tell us where to put them, and you make money. 60 percent of the revenues go to the developers. Started selling ads just 8 weeks ago, and already Nissan, Citi, Unilver, AT&T, Chanel, General Electric, Liberty Mutual, State Farm, Geico, Campbell's Soup, Sears, Target, JC Penney, DirectTV, Best Buy, and Disney have all already signed up.

2:23 PM EST: Number 8, iAds. Why are we doing iAds? To help our developers earn money so they continue to develop free and low cost apps for our users. Trying to combine the emotion of video with the interactivity of the web, says Jobs. iAds keep you in your app, says Jobs. iAds won't hijack users out of your app.

2:21 PM EST: As he demo's this app, I have to say, Steve Jobs appears to be "back." Yes, he's still thin, but this is kind of like his new normal. He's completely in control, even with the demo snafu earlier, he's in good spirits, good humor, his voice is strong, and not thin as it has been at prior, recent Apple events. He looks strong, commanding, and clearly in charge. Now, back to the presentation.

2:19 PM EST: Steve is now demo'ing the iBookstore.

2:18 PM EST: Now that books are available across all three iOS devices, and wirelessly, you can purchase a book on one device and download to all three devices at no extra charge. iBooks will automatically and wirelessly sync current place, bookmarks and notes across all devices.

2:17 PM EST: iBooks app now coming to iPhone as well.

2:16 PM EST: Apple also adding Microsoft's Bing as a search choice, but Google will still be the default. Jobs says "Microsoft has doneareally nice job" with Bing. With Yahoo, iPhone users now have three choices. This month, Jobs says, Apple will sell its 100 millionth iOS device, across iPod Touch, iPhone and now iPad.

2:14 PM EST: Better data protection, wireless app distribution and Jobs says enterprise customers are particularly happy with the new iOS4.

Apple CEO Steve Jobs announces the new retina display on the new iPhone 4.
Getty Images
Apple CEO Steve Jobs announces the new retina display on the new iPhone 4.

2:11 PM EST: Showing multi-tasking now, running multiple apps, music from Pandora. Showing mail now, a unified inbox which is nice. Threading too, so you can see all the emails from a single conversation (a popular feature on Gmail, by the way.)

2:09 PM EST: 100 new features. "Software running in the background just sort of exhausts the battery," Jobs quotes Google's Larry Page as saying. Too funny. Jobs says, he's right, unless you do multi-tasking right. Another not so subtle swipe at his buddies in Mountain View.

2:08 PM EST: Ok, on with the show: unveiling a new operating system called iOS4. No more iPhone OS. Most ambitious release to date, says Jobs.

2:07 PM EST: Jobs has gotten to the bottom of the crashed demo. Says there are 575 wi-fi stations operating in the room right now and Apple's system can't handle it. Jobs is now asking all the bloggers to turn off their devices so he can continue with the demo. A clear swipe at bloggers! Wow! (Just as an aside, I'm on AT&T 3G, using a BlackBerry so I'll just continue on my merry way!)

2:04 PM EST: Steve Jobs back on stage. Available for purchase, $4.99 "if we approve it," jokes Jobs.

2:03 PM EST: iMovie for iPhone is pretty sweet. Not only can you cut your own video, you can even import a music bed, change the "themes" of what you want the finished product to look like. No more taking your content and having to upload it to the Mac at home. One device only. This is very, very cool.

1:59 PM EST: Apple also unveiling iMovie for iPhone. Randy Ubillos, chief architect, video apps is demo-ing. Very cool.

Apple CEO Steve Jobs delivers the opening keynote address at the 2010 Apple World Wide Developers conference June 7, 2010 in San Francisco, California. Jobs kicked off their annual WWDC with a keynote address and announced a new version of the iPhone.
Getty Images
Apple CEO Steve Jobs delivers the opening keynote address at the 2010 Apple World Wide Developers conference June 7, 2010 in San Francisco, California. Jobs kicked off their annual WWDC with a keynote address and announced a new version of the iPhone.

1:58 PM EST: Camera also records 720p at 30 frames per second HD video recording. Tap to focus, built-in video editing.

1:56 PM EST: Number 5, a whole new camera system. Not just about megapixels. It's about capturing the photons, and low-light photography. Now a 5-megapixel camera (used to be 3), and a backside illuminated sensor, which offers better light. There's a 5x digital zoom, tap to focus, and LED flash built in.

1:53 PM EST: Seeing what this does, is truly stunning. The motion is so fluid, so natural. It's really something to see.

1:51 PM EST: Number 4, adding a gyroscope to the existing accelerometer. A 3-axis gyro, pitch, roll and yaw, rotation about gravity, 6-axis motion sensing, and new APIs to show what it does. This is HUGE for game developers.

1:50 PM EST: The battery is huge inside, meaning talk time, media and web surfing, all now have extended battery life.

1:48 PM EST: The iPhone 4 is powered by Apple's own A4 chip. Hear that Qualcomm , Intel ?

1:47 PM EST: We think this will set the standard for displays for the next several years, says Jobs. Maybe the most important single component of the hardware, he says.

1:46 PM EST: It appears Jobs has lost his network connection. This is pretty stunning. He's gonna try it again, but he's clearly a little flustered. Showing photos now instead. Jobs just asked the crowd jokingly for any suggestions and someone yelled "Verizon!" Ouch!! Jobs reminded everyone that he was on wi-fi. Oooooooh! But still. So rare. Jobs is moving on to the next topics. Fall-out should be interesting.

1:43 PM EST: Wow, stop the presses! A rare misstep. Network issues have taken the demo down! Same thing happened to Schmidt and team in this exact room during the GoogleTV unveiling a few weeks ago.

1:41 PM EST: Jobs now showing a comparison between the iPhone 3GS and the new iPhone 4. There is a noticeable difference. Jobs says they needed to get special projectors just for this demo. (Really? Well, yeah, really.)

Apple CEO Steve Jobs delivers the opening keynote address at the 2010 Apple World Wide Developers conference June 7, 2010 in San Francisco, California. Jobs kicked off their annual WWDC with a keynote address and announced a new version of the iPhone.
Getty Images
Apple CEO Steve Jobs delivers the opening keynote address at the 2010 Apple World Wide Developers conference June 7, 2010 in San Francisco, California. Jobs kicked off their annual WWDC with a keynote address and announced a new version of the iPhone.

1:39 PM EST: That's the first thing, says Jobs. Second, the retina display. Dramatically increasing the pixel display by 4x. The advance, says Jobs, will allow for 326 pixels per inch. Never a display like this on a phone. 300 pixels, says Jobs, is the limit of the human retina, so 326 means a clarity that no one has ever seen on an electronic device. The iPhone 4 is like HD for the small screen.

1:36 PM EST: Jobs now talking about those strange stainless steel bands, three of them, that no one knew what they were when that prototype leaked. Turns out, it's a unique integrated antenna system for wi-fi, 3G, and more. Never been done before.

1:34 PM EST: Glass, stainless steel, precision. It's like a beautiful old Leica camera, says Jobs. You think you've seen it, he says, but you haven't until you hold it, a clear swipe at the prototype scandal from Gizmodo last month (see image below). Thinnest smart phone on the market.

1:33 PM EST: Going through iPhone history: 2007, the iPhone essentially created the smart phone sector. In 2010, the biggest leap since the original iPhone. Introducing the iPhone4. Well over 100 new features, and Jobs will highlight 8 of them. An all new design, says Jobs, and "some of you may have already seen this!" Uproarious laughter.

1:31 PM EST: A lot of stats floating around: from Nielsen, Research in Motionis number 1 with 35 percent, and Apple is number 2 at 28 percent. iPhone's marketshare is 3x bigger than Android from Google. And mobile browser usage, iPhone has 58.2 percent of the total market, compared to nearly 23 percent for Android.

1:29 PM EST: Steve Jobs back on stage. Discloses, just last week, Apple crossed 5 billion App Store downloads. And with 70 percent of revenue going to developers, Apple has paid out $1 billion. That's an OMG stat. Now on to iPhone!

Images of the "next-generation iPhone" began appearing online over the weekend.
Source: Gizmodo
Images of the "next-generation iPhone" began appearing online over the weekend.

1:27 PM EST: Guitar Hero, available on the App Store today for $2.99.

1:25 PM EST: Steve Jobs back on stage. Activision's Karthik Bala, sr. VP, showing a mobile version of Guitar Hero. Already, 40 million Guitar Hero units have sold globally. Now developing an exclusive mobile version for iPhone and iPod Touch. Gotta think this will look that much better on the big screen of the iPad.

1:23 PM EST: Now giving a demo of this game. I gotta tell you, every time I see a game of any kind played on this platform, I have to think that Nintendo and Sony have to be freaking out. And I have to believe this will be a big topic at the big E3 show in LA next week. Like CTIA and wireless, Apple won't be at E3, but its presence will be felt in a significant way.

1:21 PM EST: Mark Pincus from Zynga is now on stage. Zynga is introducing Farming for the iPhone. Farmville is most successful game and now going mobile. Every week, 35 million people play Zynga games. 70 million monthly active users in under a year for Farmville. Now showing Farming on the fly.

1:19 PM EST: Netflix CEO Reed Hastings is now on stage, saying the new Netflix iPad app is a huge success. Introducing the new Netflix app for iPhone. The exact same service you're used to: start a movie on your big screen TV, and continue it on your iPhone. Now giving a demo. Service will be available this summer. And the Netflix iPhone app will be free.

1:16 PM EST: Highlighting the eBay app, and CEO John Donahoe says there have already been 10 million downloads, $600 million in volume last year, and $1.5 billion to $2 billion this year (which we reported in my interview with Donahoe last week.)

1:15 PM EST: Three reasons why those 5 percent of apps aren't approved. (1) don't perform as advertised (2) a developer uses a private API (3) they crash.

1:14 PM EST: First salvo to Google : Theo Gray from Wolfram says he earned more on the sale of The Elements for ipad in one day than on ads from periodictable.com on Google in 5 years.

"You've read a lot about our process of approving apps. Apple gets 15,000 a week in 30 different languages. 95 percent of apps we get are approved in 7 days."

1:13 PM EST: Now, an update on the App Store. We support two platforms, says Jobs. The first one is HTML5, fully open and uncontrolled. (Now the Adobe Flash controversy takes center stage.) The second platform is the App Store, a curated platform with 225,000 apps.

1:11 PM EST: Enhancements for iBooks: make notes on the e-book. Now, electronic bookmarks as well, noted in the book's table of contents. Added the ability to view and read PDF's, too.

1:10 PM EST: Shoppers have bought 5 million iBooks from the Apple bookstore app for iPad.

1:07 PM EST: Jobs says 9 more countries to come by end of July. More than 8,500 native apps for iPad specifically, downloaded 35 million times, or about 17 apps per iPad.

1:06 PM EST: iPad has sold over 2 million units in 59 days, available in 10 countries. Showing video clip of news coverage of iPad release from around the world.

1:05 PM EST: Steve begins with a few updates: it is magical, he says, because of an email: I was sitting in a cafe with my iPad and it got a girl interested in me. Jobs loved this note.

The Media frenzy before the Apple iPhone event at the Moscone Center in San Francisco, CA.
Jim Goldman for CNBC.com
The Media frenzy before the Apple iPhone event at the Moscone Center in San Francisco, CA.

1:03 PM EST: "It's great to be here." Crowd yells, "We love you, Steve." He responds, "Thanks, I think!" Folks from 57 countries, 5,200 developers.

1:02 PM EST: Steve Jobs is on stage, to a standing ovation.

12:55 PM EST: Getting set at the Apple Worldwide Developers Conference. I've been covering these for years and have NEVER seen this level of interest. There must be 75 news cameras (normally 20? 25?) And there seems to be far more than 5,000 developers.

Apple insiders say that every square foot of the room is being used. The crowd is enormous, and you can probably thank the explosion of the Apple App Store for this level of interest. It's extraordinary.

Questions? Comments? TechCheck@cnbc.com