iPhone 2.0 Introduced

Enough with the new software, time for a new iPhone! Due in about a month, the iPhone 3G is thinner at the edges and cheaper and runs on a faster data network, Steve Jobs says.

Jobs says the new version runs on AT&T's 3G (industry-speak for third-generation) network. That should help shoot down one of the biggest criticisms of the iPhone: It's a great Web-surfing device when you're within range of an open Wi-Fi connection, but it's brutally slow when you're on AT&T's standard cellular network, Edge.

AT&T's 3G network is almost three times as fast as Edge, Jobs says. He loaded a page from the National Geographic website -- it took 59 seconds on the Edge network and only 21 seconds on the 3G version. "It's amazingly zippy," Jobs said.

The iPhone 3G also has built-in GPS, which he said would lead to new services that target you by location.

Oh, and Jobs says it has got better battery life: five hours of talking, six hours of Web browsing, seven hours of video-watching or 24 hours of audio-listening.

Whoa! It's going to cost $199 for an 8-gigabyte version and $299 for 16 gigabytes of storage. That's a lot cheaper than the least-expensive model's current price of $399.

It's launching on July 11 in 22 countries. (MORE)