Bugs & Fixes: IPhone 3GS Signal Strength Oddities

I warn you at the outset. This is not going to be one of those Bugs & Fixes with a neatly defined set of symptoms and a iron-clad solution. This one's a bit messy. Here's the deal:
Almost immediately after getting my new iPhone 3GS, I noticed that it spent more time connected to the EDGE network, rather than the faster 3G network, than did my prior iPhone 3G.
As my old 3G was still in use (it's now my wife's iPhone), I could conduct a test. Turning off Wi-Fi on both phones, I tracked their behavior. I confirmed that there were numerous occasions when the iPhone 3GS connected to EDGE while the iPhone 3G hooked up to a 3G network--even when the two devices were side-by-side. The reverse virtually never happened. Most of the time, the two iPhones connected to the same network, but a difference was definitely detectable.
Checking online, I found others reporting a similar situation. So I contacted Apple Support for an explanation. They said they were familiar with this matter and that there was nothing wrong. At least not with my iPhone 3GS. According to Apple, the software behind the status bar on an iPhone 3GS does a better job of showing when a switch from 3G to EDGE has occurred than does the comparable software on an iPhone 3G. The status bar on the older iPhone 3G may persist, at least for awhile, in showing the 3G icon even when the phone is actually on an EDGE network. In other words--again according to Apple--both iPhones are likely on the same network at the same time, even if their status bars don't always agree.
This iPhone 3G-vs.-3GS difference is most likely to occur when you are on the edge (sorry for the pun!) of a 3G network coverage area. This is where the signal strength is borderline, thus resulting in switches to the EDGE network and sometimes frequent switching back and forth.
While this made sense, it still left a couple of questions unresolved:
Why does an iPhone 3GS sometimes switch from 3G to EDGE even when the listed 3G signal strength is high (4 or 5 bars)? For this, Apple Support claimed that the cause is an increase in network traffic. As more users connect to a 3G network in a given location, the bandwidth and network speed declines, similar to what when traffic goes up on a cable modem node. This too can cause the iPhone to switch to EDGE.
Apple also contended, although I cannot confirm, that the network gives priority to those who joined most recently. The result is, as network speed slows down in a given location, those who have been connected to 3G the longest will be the first to be switched to EDGE. If this is true, then disconnecting from and reconnecting to the 3G network should temporarily improve matters. To test this out, I went to Settings -> General -> Network and turned off Enable 3G. After waiting a few seconds, I turned it back on. This typically had an effect, but not a predictable one. The iPhone sometimes succeeded in shifting from an EDGE to 3G connection. At other times, it shifted to No Service! No matter what happened, the connection returned to its prior EDGE state within a few minutes. Powering off and turning the iPhone back on led to similar results. As a result, I am skeptical of Apple's explanation on this point.
Finally, some iPhone 3GS users are convinced that the strength and consistency of their 3G network connections on an iPhone 3GS is less on average than on an iPhone 3G. This would be consistent with an iPhone 3GS shifting to EDGE more often than an iPhone 3G, as the newer phone would more often be near the "shift point." On the other hand, this could just as well reflect that the iPhone 3GS reports the network status more accurately, as described above. As I said at the outset, this one's still a bit messy to sort out.
If there is ultimately a signal strength problem that needs solving here, I am optimistic that a iPhone firmware update will do the trick. We'll have to wait and see.
Finally, at least for AT&T phones, you can get a more accurate numerical indicator of the iPhone's current signal strength by manually dialing *3001#12345#* followed by a tap of the Call button. This brings up Field Test mode. The signal strength bars in the upper left are replaced by a negative number. The less negative the number, the better your signal strength. For a reasonably reliable signal, the number should be less negative than -100. Ideal strength would be somewhere around -50.
article source:
http://www.pcworld.com/businesscenter/article/167459/bugs_and_fixes_iphone_3gs_signal_strength_oddities.html

Apple iPhone Users Can Now Use TeleNav's Turn-by-Turn Navigation Service

TeleNav's turn-by-turn GPS navigation application is now available for the iPhone 3G and iPhone 3GS. This service -- which is being re-branded as AT&T Navigator -- offers features not available on the Google Maps app that ships with the iPhone.
"AT&T Navigator has been one of our most popular and best-performing apps since we launched it last year," said Mark Collins, a VP at AT&T Mobility. "With the new iPhone OS 3.0 software, we're expanding the advantages of true turn-by-turn navigation -- both voice and on-screen directions -- to millions more customers."
This service for iPhone models includes real-time voice and visual guidance, including street names, automatic re-routes, ETA and total mileage updates. Drivers can also choose among multiple route options, including 'traffic optimized'; 'fastest'; 'prefer streets'; 'prefer highways' and 'pedestrian mode'.
AT&T Navigator also offers traffic Alerts, with route monitoring and proactive searches every five minutes for traffic congestion or crashes.
Pricing & AvailabilityThis app is available for $9.99 a month from Apple's App Store on iPhone and iPod touch, or at www.itunes.com/appstore/.
As with AT&T Navigator subscriptions on other devices, the app will be billed directly by AT&T and included on the customer's monthly statement

article source: http://www.brighthand.com/default.asp?newsID=15383&subject=TeleNav+Apple+iPhone

Apple iPhone 3GS Is Jailbreakable. Does it Matter?

The hack masters at the iPhone Dev Team earlier today announced the iPhone 3GS is officially jailbreakable. The news comes less than a week after Apple released the latest iteration of its wonder gadget featuring new toys like video capability and a digital compass. The Dev Team said that while the iPhone 3GS jailbreak poses some extra technical difficulties, the new phone is susceptible to the same jailbreak and unlock techniques used on earlier iPhone models.
Has Apple Addressed the Issues?
But does jailbreaking the iPhone matter anymore? PC World's David Murphy last month wondered just that, and pointed out that the iPhone 3GS's expanded feature list -- including tethering, video capture, and copy-and-paste -- eliminates a lot of good reasons to jailbreak your iPhone. Of course, there's one big, unsolvable problem that Apple hasn't dealt with yet: overwhelming customer dissatisfaction with AT&T, the iPhone's exclusive U.S. carrier. But is switching carriers a good enough reason to risk your device warranty with a software jailbreak? It just might be.
Jailbreak Interest
Over the last 30 days, the top ten iPhone-related Google searches in the U.S. do not include any references to jailbreaking. However, the United St ates is one of the top ten countries in the world searching for the keywords "iPhone" and "jailbreak." Not only that, the U.S. is one of only three English-speaking countries looking for those terms. Breaking it down even further, Google's own data say that of the top ten cities in the world searching for "iPhone" and "jailbreak," eight of those urban centers are American. So while a majority of American iPhone searches are not about jailbreaking, significant numbers of people in the U.S. are searching for information about iPhone jailbreaking.
U.S.-sourced site traffic for popular jailbreak destinations is also a mixed bag. The Dev Team's blog -- one of the major sources for jailbreak news -- gets less than 5000 visits monthly, according to metrics firm Quantcast. Meanwhile, traffic headed to Cydia, a popular repository for unofficial iPhone apps, doesn't even register enough traffic to be worthy of tracking.
However, Quantcast does rate BigBoss, an iPhone jailbreaking tutorial and reference site, as one of the 500 most popular Websites in the U.S., with 2.5 million U.S.-based page views per month.
Jailbreaking Alive and Well?
It's hard to know for sure if the popularity of rogue iPhones is waning, but iPhone jailbreaking definitely has potential for growth, especially among porn fans. Yesterday, a mini-saga unfolded over Hottest Girls -- the first Apple-sanctioned iPhone application to contain nudity. In true iTunes App Store style, Hottest Girls was available, and then reports came out that the app was pulled. Then the app's creator said they were the ones who pulled it. Not to be outdone, Apple came back to take credit for pulling the app, saying it did so because the app contained nudity. At the time of this writing, Hottest Girls is no longer available in the App Store.
What's strange about the Hottest Girls fiasco is that issues like this were supposed to be solved by Apple's new age appropriate rating system for iPhone apps.
But instead of improving access to a wider range of apps, Apple might be making things worse.
This morning, iPhone developer Travis Yates dropped me a line to let me know Apple is no longer allowing Yates to send updates to his Blackjack card counting iPhone application. The Blackjack app is still available on iTunes, but why won't Apple allow Yates to improve or update his product?
Yates's Blackjack app made headlines earlier this year when it was discovered the program was being used by gamblers to count cards on casino floors -- counting cards in a casino with the help of an automated device is illegal. Since Yates's app was used for illegal activity, it's possible Apple decided the program was unfit for iTunes. At the time of this writing, Apple has not removed the older version of the card counting app from the iTunes App Store.
But you know, I guess jailbreaking has a guaranteed future after all. Well, at least among AT&T haters, porn fans, and gambling addicts it does.

article source: http://tech.yahoo.com/news/pcworld/20090626/tc_pcworld/iphone3gsisjailbreakabledoesitmatter_1

10 things I love about the iPhone 3GS

Another summer, another iPhone hardware update. This one's worth getting, too -- especially if you have an original iPhone or the iPhone 3G.

If you keep holding out because the iPhone doesn't have everything you want, it may be time to re-evaluate your position. This isn't just a phone -- it's a mobile communications device that boasts few true rivals in the marketplace.

Instead of waiting in line at an Apple or AT&T store, I simply ordered mine though Apple, and that process was amazingly simple. I was guaranteed delivery by the June 19th launch date, and indeed, my 32GB (black) iPhone 3GS was handed to me on Friday morning. No muss, no fuss. Kinda.

Before I get into the reasons I'm in love (LOVE!?) with the iPhone 3GS, let me just say that the activation process on AT&T's network was less than impressive.

It took close to 32 hours for the SIM card to activate, and AT&T could offer little to no assistance in that process. They were, quite simply, overwhelmed. I contend that a lot of perceived iPhone issues have more to do with AT&T than they do with Apple.

Even so, Apple saw fit to issue a $30 iTunes gift card to people caught in this delay. Now that is customer service.

So, what else has Apple given the world in the iPhone 3GS?

1. Video recording capabilities. With the swipe of a finger, you can record a quick video. With another swipe, you can trim your recording. With yet another swipe, you can email it or upload it to your YouTube account. Even when it's transferred over AT&T's 3G network, the A/V quality is rather impressive. Based on my first mobile YouTube upload test, I know I've sold a few more people on the 3GS. Apple seems to have integrated some kind of anti-shake feature into its video processing, too.

2. It's 50 percent faster than previous generations. Yes, believe me when I say that you'll notice a difference in speed (in direct comparison to the iPhone and iPhone 3G models). If you've never owned an iPhone before, then you're going to be equally as impressed. Animations are smoother, apps launch more quickly, and...well, the dang thing's just faster.

3. Twice the storage capacity. Are you good with 16GB? Would you rather have 32GB? Either way, you'll get what you want. I always say: Buy as much as you can afford.

4. Five times the amount of usable memory. Given that iPhone OS 3.0 now supports push data (that is, it allows applications to send and receive data in the "background"), you're going to want more than just 20MB available to you. Whereas the iPhone 3G comes with 128MB of memory, the iPhone 3GS has 256MB. This translates into far fewer app crashes.

5. Voice control. Press and hold the home button (that's the round thing at the bottom of the iPhone), and you'll be passed to the Voice Control application -- allowing you to tell your device to call a friend, play a song, and more. It didn't require any training for me to use, either.

6. Compass. Yeah, I have no idea when I'm actually going to need this. More importantly, app developers will take advantage of this new feature. Turn-by-turn navigation, anyone? TomTom's working on an app for that.

7. Improved battery life. I'm not sure you could make it through an entire working day without attaching an external battery pack to your iPhone, but Apple's found a balance in performance and power with the 3GS. They had to throttle the processor speed somewhat, slightly diminish the capability of the video processor, but at least people can't complain that they always have to keep 'er plugged in to an external power source.

8. Better camera. Isn't 3 megapixels usually better than 2? Generally, yes. But Apple also added the ability to take close-up (macro) shots, and an intuitive autofocus feature. Simply tap the area on the screen you want to be in focus, then take your shot. And before I forget, a friend told me that if you wanted to take a picture of yourself (with the screen facing the other direction), tap and hold the "snapshot" icon. Flip the screen away and when you're ready to shoot, simply lift your finger from the trigger. Thanks, David!

9. Same form factor as the iPhone 3G. Why is this nice? Well, you don't have to run out and buy new cases for your iPhone (if you were previously using the iPhone 3G). If this is your first iPhone, or you're upgrading from the original, then you'll still have a full range of accessories for your iPhone 3GS. I'm sure a revision is in the iPhone's future, but not this year.

10. Weight Loss support. Okay, this one's a bit of a stretch, but the iPhone 3GS has the Nike sensor built-in (no receiver required). Maybe I can convince people that I'm more healthy because I have the ability to track progress? Meh. Still, it's a convenience for those who use it -- I'd just recommend a waterproof case for your iPhone to keep it from being damaged by sweat!

Admittedly, the iPhone isn't "cheap" to own. But the device is only getting better with time. The operating system is ever-maturing and (for the most part) backwards-compatible with older iPhones, the 3G S's hardware specs are comparable to today's sexiest smartphones, and Apple isn't going anywhere anytime soon.

The only iPhone killer on the market today...is a newer iPhone

http://www.cnn.com/2009/TECH/06/25/pirillo.iphone.3gs/
by Chris Pirillo

Peeking Under the Hood of the iPhone 3G S

By now, we know that the “S” in the name of the new iPhone stands for speed.
But what exactly does that mean?
Aaron Vronko, co-founder of Rapid Repair, an online repair shop for portable electronics based in Kalamazoo, Mich., flew to Paris to find out. Mr. Vronko scooped up the iPhone 3G S shortly after it was released there and took the device to a nearby shop to take it apart.
“The construction of it is almost exactly the same as the iPhone 3G, so it feels the same in your hands,” he said. “But more than half of the actual components inside the phone have been tweaked or changed.”
Most notable, he said, was the upgrade of the main processor. Both the original iPhone 2G and the 3G used a design with a 412-megahertz central processing unit. But the iPhone 3G S is outfitted with an amped-up processor running at 600 megahertz. That and other upgrades allow the phone to work twice as fast as previous models. Applications that normally take 10 or 12 seconds to open on older phones were up and running in half the time.
Another big hardware improvement, Mr. Vronko said, is the system memory (not to be confused with the storage space for things like music files). The 3G S was upgraded from 128 megabytes to 256 megabytes, which allows the phone to manage more of everything at the same time. Previously, larger Web pages could crash the system, but with the additional memory space, those can be handled without a problem, he said.
Mr. Vronko pointed out that with the beefed-up processor and bigger memory, the iPhone 3G S rivaled the new handset developed by Palm, the Pre.
“The main processor and system memory are completely equivalent to what’s in the Palm Pre, which allows for multitasking in a robust environment,” Mr. Vronko said. “This could also potentially open the door for true multitasking on the iPhone.”
For now, Apple allows iPhone owners to have only one application open at a time. But if the company were ever to relent on that restriction and allow multiple applications to run simultaneously, the iPhone 3G S’s new hardware should be able to keep up.
Perhaps more significantly, Mr. Vronko said, was what the juiced-up capabilities would enable developers of games and other applications to do with the device.
“Right now, Apple has only added a small list of new things that you can do on the 3G S,” he said. “But the capabilities are there to do much more.”
For example, the iPhone 3G S now integrates a PowerVR SGX graphics chip that can handle 3-D rendering, opening the doors to much more complex games design, Mr. Vronko said.
But these new capabilities could potentially cause Apple to run into difficulties down the line, he said. The different generations of the iPhone and iPod Touch, equipped with varying processor speeds, mean that applications could run unevenly across the various devices. Or iPhone 3G S users might have access to a different catalog of applications than owners of the iPhone 3G or iPod Touch.
“Right now, Apple wants their developers to make apps compatible across the various processors,” Mr. Vronko said. “Developers are going to want to push the limits of the device.”
If some apps only work on some phones, that could threaten the simplicity that is an important part of the iPhone’s success, he said.
By Jenna Wortham
http://bits.blogs.nytimes.com/2009/06/19/peeking-under-the-hood-of-the-iphone-3g-s/?apage=2

There May Be 50,000 Apps For The iPhone, But Only A Select Few Become Popular

AdMob has released its metrics report for May 2009, and looked closely at the actual distribution of users of the iPhone apps in their network this time. The main takeaway? There may be tens of thousands of applications available for the iPhone, but a whole lot of them simply never actually make it onto the device.

Out of 2,309 tracked applications (representing 15.1 million unique iPhone and iPod Touch users), no less than 54% are actively used by south of 1,000 persons. That’s a very long tail there, and not an economically interesting one at that. Only about 20% of the tracked apps have more than 10,000 active users, and only 5% (or 116 apps) boasts more than 100,000 active users. For the record, an active user is considered to be someone who used the app at least once in May.

Two caveats: the AdMob network evidently doesn’t cover all applications available for the platform in its entirety, and the large majority of those it tracks are free of charge. That means two things: there’s no indication that these findings can correctly be extrapolated to the entire iPhone app universe, and it’s likely the curve is less steep with paid applications (usually, you’d be more actively engaged with an app you paid for than a free app you downloaded just for testing).

The report also correctly points out the App Store ranking system feeds the success of top applications, particularly when they are featured on the Apple website in combination with getting rave reviews.

by Robin Wautershttp://www.techcrunch.com/2009/06/25/there-may-be-50000-apps-for-the-iphone-but-only-a-select-few-become-popular

Apple iPhone 3G S vs iPhone 3G: Speed Test

Thanks to SoldierKnowsBesthttp://www.youtube.com/user/SoldierKnowsBest

iPhone 3GS Chews Through PlayStation, Game Boy Games

Just what your brand new iPhone 3GS needs--Cloud Strife's super-deformed spike-do bristling at hundreds of frames per second. PlayStation emulation amped up to supersonic? Oh yes you can, writes Engadget, and with Game Boy Advance stuff too. All you need is a pre-jailbreak hack called psx4iphone, which you can request a copy of here, and one of Apple's newly supercharged iPhone 3GS's and you're in business.
Okay, it's just a wee bit more complex than that, and you wouldn't catch me doing it for a million bucks. But. If you already have the 3GS, you're also much tech-savvier than me (I don't have one--yet) so why not?
ZodTTD claims they've got things like gpSPhone (the iPhone GameBoy Advance emulator) running full gallop...well, without sound. And you can't switch games without restarting the emulator, or access save states. But getting between 150 and 225 frames per second with zero frame skipping already? That's some serious horsepower under the new iPhone's hood. The original 3G was only able to hit 60 fps with the same game, apparently.
Article by Matt Peckham http://tech.yahoo.com/news/pcworld/20090625/tc_pcworld/iphone3gschewsthroughplaystationgameboygames_1

Apple Approves Porn App, Hottest Girls Available for iPhone

This is the moment we’ve all been waiting for: Apple has finally approved a porn app. Although it’s not entirely porn, there are nude topless pics which means that we can watch boobs as much as we want. The application is called Hottest Girls, and it was developed by Allen Leung. At first the application showed Asian girls in bikinis and lingerie, however, they’ve uploaded new images with non-Asian girls who are topless.
How great is that? To have a smartphone ready to be filled with 50,000 apps, but no porn. This wasn’t fair. Apple has done a marvelous job because this is what people wants. If you search porn in Google Trends you will not be surprised to see that hundreds of million people are looking for it every day. If you want Hottest Girls on your iPhone or iPod touch, then you will have to pay only $1.99.
I am pretty sure that Apple will not remove the application from the iTunes Store as the application is rated 17+ due to frequent/intense sexual content or nudity and frequent/intense mature/suggestive theme which means that you have to be 17 to download it, and that it will stay here forever.
The vibrator app that was approved a few days ago was destined for the women with an iPhone / iPhone 3G / iPhone 3GS / iPod touch, but this was developed for all the guys who’ve been “supporting” porn industry for a long time.
article source: http://www.softsailor.com/news/5368-apple-approves-porn-app-hottest-girls-available-for-iphone-nsfw.html

iPhone 3G S Teardown Reveals Not Much Profit

There's another shiny new gadget on the market, and that means it's time for another teardown from the folks at iSuppli. This time out the team tackled the new iPhone 3GS. According to the company, the 16GB model has an estimated price tag of$178.96--that's $172.46 in parts and $6.50 for manufacturing expenses.

That's a bit of a bump from the $174.33 that the company estimated it would cost to put together the iPhone 3G, this time last year. All things considered, it's not a huge profit margin, given the phone's $199 price tag--at least it's not before the carrier costs are factored in.
For a full break down of manufacturing costs, check out iSuppli's site.
by Brian Heater Originally posted to Gearlog.com

iPhone 3GS raises YouTube mobile uploads 400 per cent

The number of videos filmed on mobile phones uploaded to YouTube has risen 400 per cent since Friday, following the release of Apple's iPhone 3GS.

The device, newly fitted with video recording technology, allows users to upload their videos wirelessly to the YouTube over 3G phone networks. The increase comes as part of a trend towards mobile devices being equipped with video uploading and sharing facilities which has seen 17 times more mobile phone footage uploaded to YouTube in comparison to six months ago. The increase in uploads is not believed to worry YouTube, which already sees more than 20 hours of content uploaded every minute, from a variety of sources.

Though less widespread, Android phones such as the T Mobile G1 and Vodafone HTC Magic are also capable of performing the same function. Video sharing is made straightforward on all formats by the integration of social media features with YouTube, allowing users to show content they've uploaded using social networks such as Facebook and microblogging service Twitter.
Article by Jack Riley
http://www.independent.co.uk/life-style/gadgets-and-tech/news/iphone-3gs-raises-youtube-mobile-uploads-400-per-cent-1719189.html

IPhone 3G S Lines Shorter, Apple Stock Watchers Say

Apple’s new iPhone went on sale this morning, to a bit less hoopla and somewhat shorter lines than some expect for new Apple products, the Associated Press reports. (Although there seems to be some disagreement amongst analysts, below.)

In fairness, the iPhone 3G S isn’t really a revolutionary jump from previous incarnations of the popular smart phone. Buyers can opt for an older 3G model, whose price Apple halved to $99, and many current iPhone customers have simply upgraded to the new OS 3.0.

As The Journal’s Walt Mossberg wrote in his review of the 3G S, it pretty much looks the same as previous iPhones, but offers more speed, more memory, more battery life and a few new features, including video recording and a better camera for still photos.

Still, analysts that follow Apple stock are deeply interested in how the new 3G S — which costs at least $199 — seems to be faring on its first day in the market. Here’s a smattering of their recent notes:
Hudson Square Research: “In our survey of 9 retail stores, we found more new customers to the iPhone than we initially expected. In some cases, we found 30% to 40% of the people in line were first-time iPhone buyers. With respect to changing carriers, our findings were mixed. We believe this is a positive sign for the device, particularly since the 3G S is not that different than its predecessor. Overall, as we anticipated, the turn-out is smaller than last year.”

Morgan Keegan: “We stopped by our Apple Store this morning and counted about 40 people in the line compared to the 300+ that were in line at the same time last year. The crowd was about as early adopter in appearance as one could imagine…with less countries getting the iPhone 3G S on day 1 and less incentive to upgrade, we believe that 500k-600k devices sold this weekend is a reasonable expectation vs. the 1mm+ sold last year in the first weekend.”

Piper Jaffray: “In 2008, Apple introduced the iPhone 3G at $199, a 50% reduction from the previous model, which drove demand up significantly. Most customers will be able to purchase the new iPhone 3G S for $199 (the same price as the previous model). As such, the change in value proposition for the iPhone 3G S is not as meaningful as it was for the iPhone 3G, leading to less of a surge in units at launch. Moreover, the iPhone 3G was available in 21 countries at launch vs. the iPhone 3G S which will sell into 8 countries at launch (then over 70 more throughout the summer).”

Scotia Capital: “Although we believe the iPhone 3GS is an improvement over its predecessor and that the US$99 iPhone 3G will have some appeal to AT&T’s subscribers, we see three reasons why iPhone sales may not be as strong as some investors expect … These are: (1) iPhone penetration rates at AT&T are likely slowing: (2) the US$99 iPhone 3G is not likely to change the value proposition enough to appeal to the majority of non-iPhone subscribers, and (3) the upgrade cycle by existing iPhone owners is expected to be muted.

Article by By Matt Phillips - WSJ - http://blogs.wsj.com/digits/2009/06/19/iphone-3g-s-lines-shorter-apple-stock-watchers-say/

Apple iphone 3GS - Guided Tour

Get a look at all the new features of the iPhone 3GS like video editing, voice control, and more.

Apple iPhone 3GS: The sum of its parts

The iPhone, of course, is more than the sum of its parts, but the cost of individual components adds up--to $178.96, to be exact.
A new analysis by iSuppli details the cost of the iPhone 3GS and the motley collection of chips inside.

The entry-level (16GB) version of the iPhone 3GS carries a BOM (bill of materials) cost of $172.46 and a manufacturing expense of $6.50, for a total of $178.96, said Andrew Rassweiler, director and principal analyst, teardown services, for iSuppli, in a statement.

Service providers are paying more for the low-end iPhone 3G S than the original iPhone 3G, according to Rassweiler. "Although the retail price of the 16GB iPhone 3GS is $199, the same as for the 8GB version of the original iPhone 3G, the actual price of the phone paid by the service provider is considerably higher, reflecting the common wireless industry practice of subsidizing the upfront cost of a mobile phone and then making a profit on subscriptions," he said.
And what are the major cost drivers? The 16GB flash memory chip is the priciest at $24--and reflects the rising cost of flash chips due to supply constraints, according to iSuppli. This part is also available from Samsung. So there could be some second-sourcing (sourcing the part from a second chip supplier) in the future.

The next rung in the cost ladder is the 3.5-inch display module and touch-screen assembly, at $19.95 and $16, respectively.

Below this, is the main Samsung applications processor. Priced at $14.46, it is the fourth most costly component in the iPhone 3GS. As reported earlier, the new ARM-based Samsung processor (Apple branded, by the way) plays a key role in the 3G S' improved performance. In the 3GS, the processor runs at 600MHz version, in the 3G at only 400MHz.
Beyond faster performance, the iPhone 3GS adds video capture, an autofocus 3-megapixel camera--compared with 2 megapixels before--and a built-in digital compass.
Aside from these extras (and the new processor), the 3GS hardware feature set (that user sees) is not much different from that of the 3G, iSuppli said.

"From a component and design perspective, there's also a great deal of similarity between the 3G and the 3GS. By leveraging this commonality to optimize materials costs, and taking advantage of price erosion in the electronic component marketplace, Apple can provide a higher-performing product with more memory and features at only a slightly higher materials and manufacturing cost," Rassweiler said.

And how did other chip suppliers do beyond Toshiba and Samsung? Broadcom is supplying a single-chip Bluetooth/FM/WLAN device, costing $5.95. Look closely, and squeezed in between the Bluetooth and WLAN (wireless local area network) is an FM radio feature. The iPhone 3GS does not list an FM radio as one its features, but that's part of the feature set of the Broadcom chip. In this case, it may be simply disabled.

AKM provides an electronic compass and STMicroelectronics, the accelerometer, both of which are 3-axis devices. The STMicroelectronics part allows the 3G S to determine device orientation or inclination, while the AKM sensor detects device movement relative to magnetic north, supporting the 3GS' capability to reorient a map displayed on the screen to correspond with the direction the user is facing, according to iSuppli.

Infineon Technologies AG is the supplier of the phone's important baseband chip, which accounts for $13 of the 3GS component costs.

Article by Brooke Crothers CNET News.com

A Brief History Of The Apple iPhone

iPhone - Apple Inc.

Release date Original: June 29, 2007 (2007-06-29) 3G: July 11, 2008 (2008-07-11) 3GS: June 19, 2009 (2009-06-19)

Units sold- 21.17 million (as of Q2 2009)

Operating system-iPhone OS 3.0 (build 7A341)

Power Original: 3.7 V 1400 mAh 3G: 3.7 V 1150 mAh3GS: 3.7 V 1219 mAh Internal rechargeable non-removable lithium-ion polymer battery

CPU
Original & 3G: Samsung 32-bit RISC ARM 1176JZ(F)-S v1.0 620 MHz underclocked to 412 MHz PowerVR MBX Lite 3D GPU 3GS: ARM Cortex-A8833 MHz underclocked to 600 MHzPowerVR SGX GPU

Storage capacity
Flash memory (Original: 4, 8, & 16 GB; 3G: 8 & 16 GB; 3GS: 16 & 32 GB)

Memory
Original & 3G: 128 MB DRAM 3GS: 256 MB

Display
320×480 px, 3.5 in (89 mm), 2:3 aspect ratio, 262,144-color LCD

Sound
Two speakers, TRRS headphone jack, 20 Hz to 20 kHz frequency response (internal, headset), microphone

Input
Multi-touch display, headset controls, proximity and ambient light sensors, 3-axis accelerometer3GS also includes: digital compass

Camera
Original & 3G: 2.0 megapixels with geotagging 3GS: 3.0 megapixels with video (VGA at 30 fps), geotagging, and automatic focus, white balance, & exposure

Connectivity
Wi-Fi (802.11b/g), Bluetooth 2.0+EDR (3GS: 2.1), USB 2.0/Dock connectorQuad band GSM 850 900 1800 1900 GPRS/EDGE 3G also includes: A-GPS; Tri band UMTS/HSDPA 3GS also supports: 7.2 Mbps HSDPA

Online services
iTunes Store, App Store

Dimensions
Original:4.5 in (115 mm) (h)2.4 in (61 mm) (w)0.46 in (11.6 mm) (d)3G & 3GS:4.5 in (115.5 mm) (h)2.4 in (62.1 mm) (w)0.48 in (12.3 mm) (d)
Weight
Original & 3GS: 135 g (4.8 oz)3G: 133 g (4.7 oz)

The iPhone is an Internet-connected, multimedia smartphone designed and marketed by Apple Inc. Since its minimal hardware interface lacks a physical keyboard, the multi-touch screen renders a virtual keyboard when necessary. The iPhone functions as a camera phone (also including text messaging and visual voicemail), a portable media player (equivalent to a video iPod), and an Internet client (with email, web browsing, and Wi-Fi connectivity). The first-generation phone hardware was quad-band GSM with EDGE; the second generation added UMTS with HSDPA
Apple announced the iPhone on January 9, 2007, after months of rumors and speculation. The original iPhone was introduced in the United States on June 29, 2007 before being marketed worldwide. Time magazine named it the Invention of the Year in 2007. Released July 11, 2008, the iPhone 3G supports faster 3G data speeds and assisted GPS. On March 17, 2009, Apple announced version 3.0 of the iPhone OS operating system for the iPhone (and iPod Touch), released on June 17, 2009. The iPhone 3GS was announced on June 8, 2009. It was released in the U.S., Canada and some European countries on June 19, will be released in Australia and Japan on June 26, and will see international release in July and August.

History and availability
Development of iPhone began with Apple CEO Steve Jobs' direction that Apple engineers investigate touchscreens. Apple created the device during a secretive and unprecedented collaboration with AT&T Mobility—Cingular Wireless at the time—at an estimated development cost of US$150 million over thirty months. Apple rejected the "design by committee" approach that had yielded the Motorola ROKR E1, a largely unsuccessful collaboration with Motorola. Instead, Cingular gave Apple the liberty to develop the iPhone's hardware and software in-house.
Jobs unveiled iPhone to the public on January 9, 2007 in a keynote address. Apple was required to file for operating permits with the FCC, but since such filings are made available to the public, the announcement came months before the iPhone had received approval. The iPhone went on sale in the United States on June 29, 2007, at 6:00 pm local time, while hundreds of customers lined up outside the stores nationwide. The original iPhone was made available in the UK, France, and Germany in November 2007, and Ireland and Austria in the spring of 2008.
On July 11, 2008, Apple released the iPhone 3G in twenty-two countries, including the original six. Apple has since released the iPhone 3G in upwards of eighty countries and territories. Apple announced the iPhone 3GS on June 8, 2009, along with plans to release it later in June, July, and August, starting with the U.S., Canada and major European countries on June 19. The 8 GB iPhone 3G is still available after the latest of several price reductions over the years; it now sells for one-sixth of the price of the original 8 GB iPhone when it first became available. In the U.S., it now costs $99, down from $599, although it includes a two-year contract and a SIM lock.
Apple sold 6.1 million original iPhone units over five quarters. The company sold 3.8 million iPhone 3G units in the second quarter of fiscal 2009, ending March 2009, totaling 21.4 million iPhones sold to date. Sales in Q4 2008 surpassed temporarily those of RIM's BlackBerry sales of 5.2 million units, which made Apple briefly the third largest mobile phone manufacturer by revenue, after Nokia and Samsung. While iPhone sales constitute a significant portion of Apple's revenue, some of this income is deferred.
Reception from critics has been generally very positive across all iPhone models, with the iPhone effectively becoming a cultural icon. Among those choosing not to buy an iPhone, the price, lack of interest, and having to change carriers were cited according to an NPD Group survey.
Regardless, the iPhone remains popular among people of all ages, with particular reach to those who are financially well-off: according to MocoNews, a survey by Nielsen Wire in 2009 found that 40% of iPhone owners in the US make a six-figure income (above $100,000 annually).

Hardware
Screen and input
The touchscreen is a 9 cm (3.5 in) liquid crystal display (320×480 px at 6.3 px/mm, 160 ppi, HVGA) with scratch-resistant glass, and can render 262,144 colors. The capacitive touchscreen is designed for a bare finger, or multiple fingers for multi-touch sensing. Most gloves and styluses prevent the necessary electrical conductivity. The iPhone 3GS also features a new Fingerprint-resistant oleo phobic coating.
The display responds to three sensors. A proximity sensor deactivates the display and touchscreen when the device is brought near the face during a call. This is done to save battery power and to prevent inadvertent inputs from the user's face and ears. An ambient light sensor adjusts the display brightness which in turn saves battery power. A 3-axis accelerometer senses the orientation of the phone and changes the screen accordingly, allowing the user to easily switch between portrait and landscape mode. Photo browsing, web browsing, and music playing support both upright and left or right widescreen orientations. The 3.0 update added landscape support for still other applications, such as email, and introduced shaking the unit as a form of input. The accelerometer can also be used to control third party apps, notably games.
A software update in January 2008 allowed the first generation iPhone to use cell tower and Wi-Fi network locations trilateration, despite lacking GPS hardware. The iPhone 3G and iPhone 3GS employ A-GPS, and the iPhone 3GS also has a digital compass.
The iPhone has three physical switches on the sides: wake/sleep, volume up/down, and ringer on/off. These are made of plastic on the original iPhone and metal on all later models. A single "Home" hardware button below the display brings up the main menu. The touch screen furnishes the remainder of the user interface.
The back of the original iPhone was made of aluminum with a black plastic accent. The iPhone 3G and 3GS feature a full plastic back to increase the strength of the GSM signal. The iPhone 3G is available in black with 8 GB of space, and the discontinued 16 GB model was sold in either black or white. The iPhone 3GS is available in both colors, regardless of storage capacity.

Audio and output
One of two speakers (left) and the microphone (right) surround the dock connector on the base of the iPhone. If a headset is plugged in, sound is played through it instead.
One loudspeaker is located above the screen as an earpiece, and another is located on the left side of the bottom of the unit, opposite a microphone on the bottom-right. Volume controls are located on the left side of the unit and as a slider in the iPod application. Both speakers are used for handsfree operations and media playback.
The 3.5 mm TRRS connector for the headphones is located on the top left corner of the device. The headphone socket on the original iPhone is recessed into the casing, making it incompatible with most headsets without the use of an adapter. The iPhone 3G eliminates the issue with a flush mounted headphone socket.
While the iPhone is compatible with normal headphones, Apple provides a headset with additional functionality. A multipurpose button near the microphone can be used to play or pause music, skip tracks, and answer or end phone calls without touching the iPhone itself. A small number of third-party headsets specifically designed for the iPhone also include the microphone and control button. Apple sells headsets with volume controls, but they are only compatible with the iPhone 3GS.
The built-in Bluetooth 2.x+EDR supports wireless earpieces and headphones, which requires the HSP profile. Stereo audio was added in the 3.0 update for hardware that supports A2DP. While illicit solutions exist, the iPhone does not officially support the OBEX file transfer protocol.The lack of these profiles prevents iPhone users from exchanging multimedia files, such as pictures, music and videos, with other bluetooth-enabled cell phones.
Composite or component video at up to 576i and stereo audio can be output from the dock connector using an adapter sold by Apple. Unlike many similar phones, the iPhone did not support voice recording until the 3.0 software update.

Battery
The iPhone features an internal rechargeable battery. Like an iPod but unlike most other cell phones, the battery is not user-replaceable. The iPhone can be charged when connected to a computer for syncing across the included USB to dock connector cable, similar to charging an iPod. Alternatively, a USB to AC adapter (or "wall charger," also included) can be connected to the cable to charge directly from an AC outlet. A number of third party accessories (stereos, car chargers, even solar chargers) are also available.
Apple runs tests on preproduction units to determine battery life. Apple's website says that the battery life "is designed to retain up to 80% of its original capacity after 400 full charge and discharge cycles", which is comparable to iPod batteries. The original iPhone's battery was stated to be capable of providing up to seven hours of video, six hours of web browsing, eight hours of talk time, 24 hours of music or up to 250 hours on standby. The iPhone 3G's battery is stated to be capable of providing up to seven hours of video, six hours of web browsing on Wi-Fi or five on 3G, ten hours of 2G talk time, or five on 3G, 24 hours of music, or 300 hours of standby. Apple claims that the 3GS can last for ten hours of video, nine hours of web browsing on Wi-Fi or five on 3G, twelve hours of 2G talk time, or five on 3G, 30 hours of music, or 300 hours of standby. However, these are purported maximums ("up to"), and actually user experiences vary.
Battery life has been a subject of criticism from several technology journalists. This is also reflected by a J. D. Power and Associates customer satisfaction survey, which gave the "battery aspects" of the iPhone 3G its lowest rating of 2 out of 5 stars. This is the same score given to HTC, Motorola, and Palm smartphones, but a lower rating than Samsung and Blackberry smartphones.
If the battery malfunctions or dies prematurely, the phone can be returned to Apple and replaced for free while still under warranty. The warranty lasts one year from purchase and is extended to two years with AppleCare. The Foundation for Taxpayer and Consumer Rights, a consumer advocate group, has sent a complaint to Apple and AT&T over the fee that consumers have to pay to have the battery replaced. Though the battery replacement service and its pricing was not made known to buyers until the day the product was launched, it is similar to how Apple (and third parties) replace batteries for iPods.
Since July 2007 third party battery replacement kits have been available at a much lower price than Apple's own battery replacement program. These kits often include a small screwdriver and an instruction leaflet, but as with many newer iPod models the battery in the original iPhone has been soldered in. Therefore a soldering iron is required to install the new battery. The iPhone 3G uses a different battery fitted with a connector that is easier to replace, although replacing the battery oneself still voids the warranty.

Storage and SIM
The iPhone was initially released with two options for internal storage size: 4 GB or 8 GB. On September 5, 2007, Apple discontinued the 4 GB models. On February 5, 2008, Apple added a 16 GB model. The iPhone 3G was available in 16 GB and is still available with 8 GB. The iPhone 3GS comes in 16 GB and 32 GB variants. All data is stored on the internal flash drive; the iPhone does not support expanded storage through a memory card slot, or the SIM card.
The SIM card sits in a tray, which is inserted into a slot at the top of the device. The SIM tray can be ejected with a paperclip or the SIM eject tool included with the iPhone 3G and 3GS.[72] In most countries, the iPhone is usually sold with a SIM lock, which prevents the iPhone from being used on a different mobile network.

Included items
All iPhone models include written documentation, and a dock connector to USB cable. The original and 3G iPhones also came with a cleaning cloth. The original iPhone included stereo headset (earbuds and a microphone) and a plastic dock to hold the unit upright while charging and syncing. The iPhone 3G includes a similar headset plus a SIM eject tool (the original model requires a paperclip). The iPhone 3GS includes the SIM eject tool and a revised headset, which adds volume buttons . The iPhone 3G and 3GS are compatible with the same dock, sold separately, but not the original model's dock. All versions include a USB power adapter, or "wall charger," which allows the iPhone to charge from an AC outlet. The iPhone 3G and iPhone 3GS sold in North America, Japan, Colombia, Ecuador, or Peru include an ultracompact USB power adapter.

Software
The iPhone (and iPod Touch) run an operating system known as iPhone OS. It is based on a variant of the same Darwin operating system core that is found in Mac OS X. Also included is the "Core Animation" software component from Mac OS X v10.5 Leopard. Together with the PowerVR hardware (and on the iPhone 3GS, OpenGL ES 2.0), it is responsible for the interface's smooth animations. The operating system takes up less than half a GB of the device's total storage (4 to 32 GB). It is capable of supporting bundled and future applications from Apple, as well as from third-party developers. Software applications cannot be copied directly from Mac OS X but must be written and compiled specifically for iPhone OS.
Like the iPod, the iPhone is managed with iTunes. The earliest versions of iPhone OS required version 7.3 or later, which is compatible with Mac OS X version 10.4.10 Tiger or later, and 32-bit or 64-bit Windows XP or Vista. The release of iTunes 7.6 expanded this support to include 64-bit versions of XP and Vista, and a workaround has been discovered for previous 64-bit Windows operating systems. Apple provides free updates to iPhone OS through iTunes. Major updates often require a newer version of iTunes — for example, the 3.0 update requires iTunes 8.2 — but the iTunes system requirements have stayed the same. Updates include both security patches and new features. For example, iPhone 3G users initially experienced dropped calls until an update was issued.

Interface
The interface is based around the home screen, a graphical list of available applications. iPhone applications normally run one at a time, although most functionality is still available when making a call or listening to music. The home screen can be accessed at any time by a hardware button below the screen, closing the open application in the process. By default, the Home screen contains the following icons: Messages (SMS and MMS messaging), Calendar, Photos, Camera, YouTube, Stocks, Maps (Google Maps), Weather, Voice Memos, Notes, Clock, Calculator, Settings, iTunes (store), App Store, and (on the iPhone 3GS only) Compass. Docked at the base of the screen, four icons for Phone, Mail, Safari (Internet), and iPod (multimedia) delineate the iPhone's main purposes. On January 15, 2008, Apple released software update 1.1.3, allowing users to create "Web Clips", home screen icons that resemble apps that open a user-defined page in Safari. After the update, iPhone users can rearrange and place icons on up to nine other adjacent home screens, accessed by a horizontal swipe. Users can also add and delete icons from the dock, which is the same on every home screen. Each home screen holds up to sixteen icons, and the dock holds up to four icons. Users can delete Web Clips and third-party applications at any time, and may select only certain applications for transfer from iTunes. Apple's default programs, however, may not be removed. The 3.0 update adds a system-wide search, known as Spotlight, to the left of the first home screen.
Almost all input is given through the touch screen, which understands complex gestures using multi-touch. The iPhone's interaction techniques enable the user to move the content up or down by a touch-drag motion of the finger. For example, zooming in and out of web pages and photos is done by placing two fingers on the screen and spreading them farther apart or bringing them closer together, a gesture known as "pinching". Scrolling through a long list or menu is achieved by sliding a finger over the display from bottom to top, or vice versa to go back. In either case, the list moves as if it is pasted on the outer surface of a wheel, slowly decelerating as if affected by friction. In this way, the interface simulates the physics of a real object. Other visual effects include horizontally sliding sub-selection, the vertically sliding keyboard and bookmarks menu, and widgets that turn around to allow settings to be configured on the other side. Menu bars are found at the top and bottom of the screen when necessary. Their options vary by program, but always follow a consistent style motif. In menu hierarchies, a "back" button in the top-left corner of the screen displays the name of the parent folder.

Phone
When making a call, the iPhone presents a number of options. The screen is automatically disabled when held close to the face.
The iPhone allows audio conferencing, call holding, call merging, caller ID, and integration with other cellular network features and iPhone functions. For example, if a song is playing while a call is received, it gradually fades out, and fades back when the call has ended. The proximity sensor shuts off the screen and touch-sensitive circuitry when the iPhone is brought close to the face, both to save battery and prevent unintentional touches. This iPhone does not support video calling, and the first two models only supported voice dialing through third party applications. Voice control, available only on the iPhone 3GS, allows users to say a contact's name or number and the iPhone will dial.
The iPhone includes a visual voicemai (in some countries) feature allowing users to view a list of current voicemail messages on-screen without having to call into their voicemail. Unlike most other systems, messages can be listened to and deleted in a non-chronological order by choosing any message from an on-screen list.
A music ringtone feature was introduced in the United States on September 5, 2007. Users can create custom ringtones from songs purchased from the iTunes Store for a small additional fee. The ringtones can be 3 to 30 seconds long from any part of a song, can fade in and out, pause from half a second to five seconds when looped, or loop continuously. All customizing can be done in iTunes, or alternatively with Apple's GarageBand software 4.1.1 or later (available only on Mac OS X) or third-party tools.

Multimedia
The layout of the music library is similar to that of an iPod or current Symbian S60 phones. The iPhone can sort its media library by songs, artists, albums, videos, playlists, genres, composers, podcasts, audiobooks, and compilations. Options are always presented alphabetically, except in playlists, which retain their order from iTunes. The iPhone uses a large font that allows users plenty of room to touch their selection. Users can rotate their device horizontally to landscape mode to access Cover Flow. Like on iTunes, this feature shows the different album covers in a scroll-through photo library. Scrolling is achieved by swiping a finger across the screen. Alternatively, headset controls can be used to pause, play, skip, and repeat tracks. Voice control, only on the iPhone 3GS, can also be used identify a track, play songs in a playlist of by a specific artist, and create a Genius playlist.
The iPhone supports gapless playback. Like the fifth generation iPods introduced in 2005, the iPhone can play digital video, allowing users to watch TV shows and movies in widescreen. Unlike other image-related content, video on the iPhone plays only in the landscape orientation, when the phone is turned sideways. Double-tapping switches between widescreen and fullscreen video playback.
The iPhone allows users to purchase and download songs from the iTunes Store directly to their iPhone. The feature originally required a Wi-Fi network, but now can use the cellular data network if one is not available.

Internet connectivity
Internet access is available when the iPhone is connected to a local area Wi-Fi or a wide area GSM or EDGE network, both second-generation (2G) wireless data standards. The iPhone 3G also supports third-generation UMTS and HSDPA 3.6, but not HSUPA networks, and only the iPhone 3GS supports HSDPA 7.2. AT&T introduced 3G in July 2004, but as late as 2007 Steve Jobs felt that it was still not widespread enough in the US, and the chipsets not energy efficient enough, to be included in the iPhone. Support for 802.1X, an authentication system commonly used by university and corporate Wi-Fi networks, was added in the 2.0 version update.
By default, the iPhone will ask to join newly discovered Wi-Fi networks and prompt for the password when required. Alternatively, it can join closed Wi-Fi networks manually. The iPhone will automatically choose the strongest network, connecting to Wi-Fi instead of EDGE when it is available. Similarly, the iPhone 3G prefers 3G to 2G, and Wi-Fi to either. Wi-Fi, Bluetooth, and 3G (on the iPhone 3G) can all be deactivated individually. Airplane Mode disables all wireless connections at once, overriding other preferences.
The iPhone 3G has a maximum download rate of 1.4 Mbps in the United States. Furthermore, files downloaded over cellular networks must be smaller than 10 MB. Larger files, often email attachments or podcasts, must be downloaded over Wi-Fi (which has no file size limits). If Wi-Fi is unavailable, one workaround is to open the files directly in Safari.
Safari is the iPhone's native web browser, and it displays pages similar to its Mac and PC counterpart. Web pages may be viewed in portrait or landscape mode and supports automatic zooming by pinching together or spreading apart fingertips on the screen, or by double-tapping text or images. The iPhone supports neither Flash nor Java. Consequently, the UK's Advertising Standards Authority adjudicated that an advertisement claiming the iPhone could access "all parts of the internet" should be withdrawn in its current form, on grounds of false advertising. The iPhone supports SVG, CSS, HTML Canvas, and Bonjour.
The maps application can access Google Maps in map, satellite, or hybrid form. It can also generate directions between two locations, while providing optional real-time traffic information. During the iPhone's announcement, Jobs demonstrated this feature by searching for nearby Starbucks locations and then placing a prank call to one with a single tap. Support for walking directions, public transit, and street view was added in the version 2.2 software update. The iPhone 3GS can orient the map with its digital compass. Apple also developed a separate application to view YouTube videos on the iPhone, which streams videos after encoding them using the H.264 codec. Simple weather and stock quotes applications also tap in to the Internet.
iPhone users can and do access the Internet frequently, and in a variety of places. According to Google, the iPhone generates 50 times more search requests than any other mobile handset. According to Deutsche Telekom CEO René Obermann, "The average Internet usage for an iPhone customer is more than 100 megabytes. This is 30 times the use for our average contract-based consumer customers."

Text input
For text input, the iPhone implements a virtual keyboard on the touchscreen. It has automatic spell checking and correction, predictive word capabilities, and a dynamic dictionary that learns new words. The keyboard can predict what word the user is typing and complete it, and correct for the accidental pressing of keys adjacent to the presumed desired key. The keys are somewhat larger and spaced farther apart when in landscape mode, which is supported by only a limited number of applications. Touching a section of text for a brief time brings up a magnifying glass, allowing users to place the cursor in the middle of existing text. The virtual keyboard can accommodate 21 languages, including character recognition for Chinese. The 3.0 update brought support for cut, copy, or pasting text, as well as landscape keyboards in more applications.

E-mail and text messages
The iPhone also features an e-mail program that supports HTML e-mail, which enables the user to embed photos in an e-mail message. PDF, Word, Excel, and Powerpoint attachments to mail messages can be viewed on the phone. Apple's MobileMe platform offers push email, which emulates the functionality of the popular BlackBerry email solution, for an annual subscription. Yahoo! offers a free push-email service for the iPhone. IMAP (although not Push-IMAP) and POP3 mail standards are also supported, including Microsoft Exchange and Kerio MailServer. In the first versions of the iPhone firmware, this was accomplished by opening up IMAP on the Exchange server. Apple has also licensed Microsoft ActiveSync and now supports the platform (including push email) with the release of iPhone 2.0 firmware. The iPhone will sync e-mail account settings over from Apple's own Mail application, Microsoft Outlook, and Microsoft Entourage, or it can be manually configured on the device itself. With the correct settings, the e-mail program can access almost any IMAP or POP3 account.
Text messages are presented chronologically in a mailbox format similar to Mail, which places all text from recipients together with replies. Text messages are displayed in speech bubbles (similar to iChat) under each recipient's name. The iPhone currently has built-in support for e-mail message forwarding, drafts, and direct internal camera-to-e-mail picture sending. Support for multi-recipient SMS was added in the 1.1.3 software update. Support for was added in the 3.0 update, but not immediately in the U.S. and not for the original iPhone. A lack of focus on text-messaging is widely considered a chief weakness of the iPhone, although a large number of users evidently have no issue using the device for this purpose.

Camera and photos
The iPhone and iPhone 3G feature a built in fixed-focus 2.0 megapixel camera located on the back for still digital photos. It has no optical zoom, flash or autofocus, and does not support video recording. Version 2.0 of iPhone OS introduced the capability to embed location data in the pictures, producing geocoded photographs. The iPhone 3GS has a 3.0 megapixel camera, with auto focus, auto white balance, and auto macro (up to 10 cm). It can also record VGA video at 30 frames per second. It can then be cropped on the device itself and directly uploaded to YouTube, MobileMe, or other services.
The iPhone includes software that allows the user to upload, view, and e-mail photos. The user zooms in and out of photos by sliding two fingers further apart or closer together, much like Safari. The Camera application also lets users view the camera roll, the pictures that have been taken with the iPhone's camera. Those pictures are also available in the Photos application, along with any transferred from iPhoto or Aperture on a Mac, or Photoshop in Windows.

Third party applications
At WWDC 2007 on June 11, 2007 Apple announced that the iPhone would support third-party "web applications" written in AJAX that share the look and feel of the iPhone interface. On October 17, 2007, Steve Jobs, in an open letter posted to Apple's "Hot News" weblog, announced that a software development kit (SDK) would be made available to third-party developers in February 2008. The iPhone SDK was officially announced on March 6, 2008, at the Apple Town Hall facility. It allows developers to develop native applications for the iPhone and iPod Touch, as well as test them in an "iPhone simulator". However, loading an application onto the devices is only possible after paying a Apple Developer Connection membership fee. Developers are free to set any price for their applications to be distributed through the App Store, of which they will receive a 70 percent share. Developers can also opt to release the application for free and will not pay any costs to release or distribute the application beyond the membership fee. The SDK was made available immediately, while the launch of applications had to wait until the firmware update which was released on July 11, 2008. The update was free for iPhone users, but not for owners of iPod Touches with the 1.x release of iPhone OS, whose operating system can be updated to the current version of iPhone OS, so that they can run iPhone applications, only after paying a $10 fee.
Once a developer has submitted an application to the App Store, Apple holds firm control over its distribution. For example, Apple can halt the distribution of applications it deems inappropriate as has happened with a US$1000 program that has as sole purpose to demonstrate the wealth of its user. Apple has been criticized for banning third party applications that enable a functionality that Apple doesn't want the iPhone to have. In 2008, Apple rejected Podcaster, which allowed iPhone users to download podcasts directly to the iPhone claiming it duplicated the functionality of iTunes. Apple has since released a software update that grants this capability. NetShare, another rejected app, would have enabled users to tether their iPhone to a laptop or desktop, using its cellular network to load data for the computer.
Before the SDK was released, third-parties were permitted to design "Web Apps" that would run through Safari. Unsigned native applications are also available. The ability to install native applications onto the iPhone outside of the App Store will not be supported by Apple. Such native applications could be broken by any software update, but Apple has stated it will not design software updates specifically to break native applications other than those that perform SIM unlocking.

Accessibility
The iPhone can enlarge text to make it more accessible for vision-impaired users, and can accommodate hearing-impaired users with closed captioning and external TTY devices. The iPhone 3GS also features black on white mode, VoiceOver (a screenreader), and zooming for impaired vision, and mono audio for limited hearing in one ear.
Nevertheless, Apple states that "[e]ffective use of the iPhone requires a minimal level of visual acuity, motor skills, and an ability to operate a few mechanical buttons. Use of iPhone by someone who relies solely on audible and tactile input is not recommended." The iPhone 3G has not been rated under the United States Federal Communication Commission guidelines for hearing aid compatibility at either level M3 or T3.

Restrictions
Apple tightly controls certain aspects of the iPhone. The hacker community has found many workarounds, most of which are condemned by Apple and threaten to void the device's warranty. All iPhones must be activated (assigned a telephone number and carrier) before most features become available. "Jailbreaking" allows users to install apps not available on the App Store or modify basic functionality. SIM unlocking allows the iPhone to be used on a different carrier's network.

Activation
The iPhone normally prevents access to its media player and web features unless it has also been activated as a phone with an authorized carrier. On July 3, 2007, Jon Lech Johansen reported on his blog that he had successfully bypassed this requirement and unlocked the iPhone's other features with a combination of custom software and modification of the iTunes binary. He published the software and offsets for others to use.
Unlike the original, the iPhone 3G must be activated in the store in most countries. This makes the iPhone 3G more difficult, but not impossible, to hack. The need for in-store activation, as well as the huge number of first-generation iPhone and iPod Touch users upgrading to iPhone OS 2.0, caused a worldwide overload of Apple's servers on July 11, 2008, the day on which both the iPhone 3G and iPhone OS 2.0 updates as well as MobileMe were released. After the update, devices were required to connect to Apple's servers to authenticate the update, causing many devices to be temporarily unusable. Apple avoided this by releasing the 3.0 software two days before the iPhone 3GS.
Users on the O2 network in the United Kingdom, however, can buy the phone online and activate it via iTunes as with the previous model. Even where not required, vendors usually offer activation for the buyer's convenience. In the U.S., Apple has begun to offer free shipping on both the iPhone 3G and the iPhone 3GS (when available), reversing the in-store activation requirement. Best Buy and Wal-Mart will also sell the iPhone.
(article source Wikipedia) http://en.wikipedia.org/wiki/Iphone