At long last, Jobs unveils the Apple iPhone

10:41--"It's been great having the two greatest companies on the Web right down the block, Google and Yahoo," Jobs says. "Internet comunicator, iPod and a phone. Let's put them all together and see what you can do in a real life scenario."

He starts a demo.

Go into iPod, listen to music. Jobs gets a phone call. The music fades out, screen changes, and the ringtone plays. You can ignore it, Jobs says, "but I'll answer it." He puts Phil's picture up on the phone.

Phil asks for a photo of Hawaii, Steve pushes the home button, but stays on the call. He goes to photos, and there is a green bar at the top that allows you to go back to the phone. Can e-mail the photo without leaving the call. Still on the call, he is e-mailing the photo.

Then he keeps talking. Phil wants to go see a movie. Jobs keeps talking, and browses over to Fandango.

He touches the top, goes back to the call and hangs up. Then, the music starts up exactly where it pausd when the call came in.

"This is what it's like when you put it all together," Jobs says.

How does this stack up? Compared to the Treo, Blackberry, Q, and maybe the Blackjack, it's hard to tell. The difference between the phones that hits home with audience is the Web browsing.

Accessories: stereo headphones, and a microphone and switch built right into the headphones. "We also have a bluetooth accessory shipping," Jobs says. Apple has their own bluetooth headset.

Battery life: "a lot of these smartphones have low battery life, but we managed to get five hours for talk time, browsing, or video. And 16 hours of audio playback," he says.

10:37--Jerry Yang on stage: "I'm not a board member of Apple, but I'd love to have one of these," he says.

"We are really proud at Yahoo to be partnehing on e-mail. It's the first one we're doing, but a variety of other popular services with Apple."

Yang says he hopes they can get Yahoo "OneSearch" onto this phone.

Mail is a killer app on the phone, he says. "Yahoo is trying to redesign the Internet experience."

"It's lke have a Blackberry without the Exchange server."

Lastly, we want to be able to take what Apple is doing, reiventing the phone, and we want to do that on the Internet, take great form factors and experiences and UI that we're taking from the Web and translate into a seamless Web experience.

10:35--Google's Eric Schmidt is on stage.

"I've had the privilege of joining the board," Schmidt says, and he jokes about merging the companies. "AppleGoo?"

"What I liked about the new device and the architecture of the Internet is you can merge without merging. Each company should do the absolutely best thing they can do every time, and I think he's shown that today," Schmidt says.

Internet architecture allows you to take the enormous brain trust generated by the Apple design team, and take it with open standards lke the Google Internet stuff, Schmidt says.

"Google pushed very hard to partner with others, and especially Apple, the cultures are similar," he says.

Steve showed a little of the components, but understand this is a set of data from maps and partners so you can get the full integration. This the first of a whole new generation of data services," he says.

You can't think about the Internet without thinking about Yahoo. Have Yahoo search built right in, and of course we also have Yahoo imap e-mail.

Jerry Yang joins Steve on stage.

10:32--Cisco calls CNET News.com reporter with a statement about Apple's use of the term "iPhone" for its new product. "Given Apple's numerous requests for permission to use Cisco's iPhone trademark over the past several years and our extensive discussions with them recently, it is our belief that with their announcement today, Apple intends to agree to the final document and public statements that were distributed to them last night and that address a few remaining items we expect to receive a signed agreement today."

10:31--"This is a breakthrough Internet communicator built into the iPhone," Jobs says. He's still calling it "iPhone."

"We're very happy with this, push e-mail and almost any other free IMAP or pop services you want to hook up to," he says. "It's the Internet in your pocket."

You can't really think about the Internet without thinking about Google, Jobs says. We have Google search built right into the browser, and Google maps, and we've been working very closely with them, he says. Google's Eric Schmidt then joins Jobs on stage.

10:30--Jobs shows off the iPhone's widgets, checks Apple's stock and, believe it or not, it's up.

"Now I'm going to show you something truly remarkable, Google Maps on iPhone." You can already get Google Maps on Palm and Windows mobile, and it doesn't appear that the Google iPhone version is any different right now. But you can place a call right from the maps screen.

Steve calls Starbucks and orders 4,000 lattes to go. He cancels the order.

Can use fingers to zoom in on the map. Can replace the map with a satellite image. Again, I belive that's a standard part of Google Maps for Palm or Windows.

10:25--Jobs gives a demo of how the Web part of the iPhoen works. There is an e-mail inbox, running live on Yahoo inbox e-mail.

Photos are built right into the e-mail, online photos, rich text e-mail.

iPhone parses out phone numbers. "I can just touch it and I'm going to call this place," Jobs says.

"I can look at e-mail from a split view, like how you can preview the e-mail while still scrolling through the inbox, it's real e-mail just like you're used to on your computer."

And again, free imap e-mail from Yahoo.

There is a touchscreen keyboard to type e-mail. How dirty is that screen going to get? No details yet on the physical specs of the screen, the type of material, etc.

Jobs shows Safari running on the mobile device. Jobs is loading the New York Times. Rather than just give you a WAP version or wrapping around, the iPhone is giving you the whole thing. In landscape mode, you can scroll around a Web site just like a real browser.

Can zoom out to scroll faster around a big site like the Times, and then click again to zoom in on a Web page.

Can have multiple Web pages open, like having Windows open on a desktop screen.

"If you've ever used a Web browser on a phone, you know how revolutionary this is," Jobs says. "We are bringing the real Internet onto your phone."

10:19--"We have reinvented the phone," Jobs says. "So, now let's take a look at an Internet communications device."

Rich HTML e-mail on a mobile device works with any pop or imap client, Jobs says.

Safari is running on the iPhone. It is the first fully usable HTML browser on a phone, according to Jobs.

Google maps is built in.

"We have widgets," he says.

The iPhone communicates, automatically switches to Wi-Fi if it detects a signal. That's an amazing concession from whatever carrier plans to carry this, still no details on that.

Jobs highlights Yahoo mail, the biggest mail service in the world, with 250 million users. "Today we are announcing that they are going to provide free push imap e-mail to all iPhone customers. That's like having a Blackberry iPhone. It pushes your Yahoo e-mail right to the iPhone."