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Last Updated: Tuesday January 09 2007 19:44 GMT

Apple shows off new iPhone gadget

Apple's new iPhone

The company behind the iPod, Apple, has revealed its plans to start selling mobile phones too.

Apple has combined its iPod with a mobile to make something it's calling an iPhone which hasn't got any buttons!

Instead people will use a special touch screen to dial calls and download tunes from the company's online music shop, which turns off when you want to chat.

But the iPhone won't be cheap when it goes on sale in June 2007 in the US, with the cheapest costing $499 (257).

Apple boss Steve Jobs
Apple boss Steve Jobs
Apple boss Steve Jobs said the iPhone will be on sale in Europe towards the end of 2007, but didn't say how much it would cost or which mobile phone network it will use.

The phone will also allow users to download music straight to it, use it to take photos and surf the internet.

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