Steve Jobs, chief executive of Apple, announced the launch of a speedier and cheaper version of the iPhone yesterday, with more elaborate features appealing to technology lovers and corporate users alike.

Apple revealed that the new iPhone 3G would be sold for about $200 (£100), a third of the price it cost when it was first launched – an attempt to boost sales, particularly in Europe, where sales figures for the first version have been disappointing,

The second generation of the gadget, which is a phone, web browser, music and video player all in one, will include satellite navigation and 3G, allowing a faster download of internet content.

In contrast to the first version the iPhone, 2.0 focuses more on corporate users, introducing MS Exchange software which will allow users to access company email, calendars and contacts.

Mr Jobs said the phone also has a facility to view PowerPoint slides in addition to Word and Excel documents, which makes it compatible with most business PCs and an application development platform.

In order to gear the new device up for business, Mr Jobs said that the iPhone 2.0 had been beta-tested by 35 per cent of Fortune 500 companies, including the top five US banks, six or seven airlines and several big household names from the entertainment and pharmaceuticals industry.

“Everything they told us they wanted, we have built into the new iPhone 2.0 software”, Mr Jobs announced.

So far, due to a lack of suitable alternatives, corporate users had no choice but to opt for Blackberries if they want to take full advantage of business features, but this monopoly is expected to end with the launch of Apple’s new device.

Although it is not yet known how many corporate users will buy into the iPhone 2.0, it has the potential to boost Apple’s sales much further.

The new Apple iPhone 3G will be available for sale in 22 countries within a month and in 70 countries by the end of the year. Vodafone announced that they will start to sell it in Australia, New Zealand, Italy and Portugal from July 11th.

©Fair Investment Company Ltd