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Apple unveiled the latest version of its hugely-popular iPhone last night.

With double the storage capacity of its forerunner and an improved camera which can now take video, the device is aimed at heading off copycat rivals.

The touchscreen phone had already transformed the mobile market with its easy web browsing and downloadable applications for everything from train timetables to spirit levels.

The new 32GB model - unveiled amid much excitement in San Francisco - is capable of storing up to 7,000 songs or 40 hours of video.

An application will allow users to rent or buy movies from a direct link between the phone and Apple's iTunes store.





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