Editor's note: We used Cover It Live for this event, so if you missed the live blog, you can still replay it in the embedded component below. Replaying the event will give you all the live updates along with commentary from our readers and CNET editors Kent German and Josh Lowensohn. For those of you who just want the updates, we've included them in regular text here. You can find a brief summary of what was announced in our followup article "WWDC 2010: What you need to know." For all the latest iPhone coverage from CNET, click here.
SAN FRANCISCO--On Monday morning Steve Jobs will take the stage at the company's Worldwide Developers Conference at Moscone West here. In all likelihood, he will be introducing the next version of the iPhone. And we will be there to bring you live coverage of the event.
Jobs' keynote will start at 10 a.m. PDT Monday. I'll be live blogging all the news from his speech, along with CNET's iPhone reviewer Kent German and CNET News' Josh Lowensohn. For a reminder of when the event will start, sign up below. You can also bookmark this page and come back here Monday morning.
Though the iPhone is widely expected to be the star of the show, expect more details about iPhone OS 4, the iPad, and lots about apps. The theme of this year's conference is, after all, "The Center of the App Universe."
Jason Howell, Rafe Needleman, Donald Bell, and Brian Cooley will be doing a special edition of Buzz Out Loud while the event is running. There's an embed of that video podcast at the bottom of this page, in case you want to listen to their commentary while following along with the Cover It Live live blog. Also, check out the official WWDC 2010 Bingo card and photos of workers setting up for the event on Friday.
9:51 a.m. PDT: Welcome to our WWDC 2010 live blog. I'm here with CNET's Kent German inside Moscone West where we're listening to Louis Armstrong while waiting for the event to begin. Josh Lowensohn will also be on hand to help out answering your questions once the event gets going. It'll probably kick off in about 10 minutes.
9:55 a.m. (Josh Lowensohn): We're getting a lot of questions about a live video feed. Apple does not allow such things, which is why you don't see one from us, or anyone else. We will be bringing you the news and photos of the keynote as it happens, as well as video highlights immediately afterwards. Apple typically posts a full stream of the keynote a day later.
9:57 a.m.: OK, they tell us we're about to get started momentarily.
9:58 a.m. (Josh Lowensohn): Besides our coverage here, CNET's Buzz Out Loud is doing live, real-time (same thing I guess) podcast coverage of the keynote, which you can watch/listen to here.
10:02 a.m.: Lots of Louis Armstrong while we wait.
10:01 a.m.: OK, lights are going down. Music is fading out. Here we go.
Steve Jobs takes the stage. Standing ovation from the WWDC crowd.
10:02 a.m. (Kent German): Funny to see media people shooting photos of Jobs with an Android phone.
10:02 a.m.: He says it's great to be here. The conference has 5,200 attendees from 57 countries this year.
10:03 a.m.: He's going to start with some iPad updates first.
10:04 a.m.: Apple has sold more than 2 million iPads, as we know, in 59 days. It's in 10 countries total. Now he's going to show a quick video about it.
10:06 a.m.: The iPad will be in 19 countries by the end of July, he says. There are 8,500 iPad apps, plus 200,000 iPhone apps that also work on it. That's 17 apps per iPad that have been downloaded, according to Jobs.
10:08 a.m.: Now he's running through some apps: Financial Times, a DJ app, Elements (the Periodic Table), and others. He says the Elements people earned more on the sales on the iPad in one day than five years of Google ads on the company's same site.
10:09 a.m.: Now he's talking about iBooks. In 65 days, users have downloaded 5 million books. About 2.5 books per iPad. "That's terrific," he says.
The share of e-books going through the iBooks store is 22 percent in 8 weeks, according the publishers on the iBooks store. Some enhancements from iBooks: You can now make notes.
10:10 a.m.: There's a new control where you can tap to bookmark the page. On the table of contents you'll see all your bookmarks and notes too.
One of the biggest requests was the ability to view and read PDFs. That's now built in, he says.
10:11 a.m.: You can select between books or PDFs within your iBooks shelves. That will be out a little bit later this month.
10:11 a.m.: I'd like to talk about the App Store, he says. "I want to make something really clear. We support two platforms at Apple." The first one is HTML5, a fully open and uncontrolled platform, he says.
10:12 a.m.: We fully support that. Apple's browsers are in the lead in terms of supporting the HTML5 standard. Anyone can write HTML5 apps and have them on iPhone, Mac, iPod, iPod Touch, iPad.
The second platform we support is the App Store.
10:13 a.m.: There are 225,000 apps there. Now I'd like to talk about that. You've read a lot about our process of approving apps. We get 15,000 apps sumbitted every week. And they come in in up to 30 different languages. "Guess what? 95 percent are approved within seven days."
10:14 a.m.: Why don't we approve the other 5 percent? The No. 1 reason? An app doesn't do what the developer says it does. The second reason is use of private APIs. We're clear on this.
Developers who do that know what they're doing, but they can't. Third reason we reject apps? They crash. "If you were in our shoes, you'd reject those app for the same reason. Just wanted to give you those facts."
10:15 a.m. (Kent German): Interesting that Jobs is addressing the app approval process so thoroughly. We heard the 95 percent number twice.
10:16 a.m.: Now, I'd like to highlight eBay, he says. Was on iPhone last year. It was downloaded 10 million times. Will apps all be that successful, he says? He's going to show us three new entertainment-oriented apps. First up is Netflix. Reed Hastings is up on stage to talk about it.
10:16 a.m.: Hastings says the iPad app has gone really well. 2,000 downloads, he says. But now, Netflix will be on the iPhone this summer, for free.
10:17 a.m.: They're demo-ing it now. Same service you get on your TV or laptop or iPad. Can start a movie on your TV and pick it up on your iPhone. Also will get your recommendations, your viewing history, and the entire catalog and your queue.
10:18 a.m.: You can add movies to your queue right from the phone. It is using the HTTP adaptive bit rate playback technology over Wi-Fi or 3G. That's it from Netflix. Next up is Zynga, the social games company.
10:19 a.m.: Mark Pincus, Zynga's CEO takes the stage.
10:19 a.m. (Kent German): Hoping the app parade is short and we get on to the big news soon!
10:19 a.m.: "Farming" for the iPhone is what he'll be introducing. It's FarmVille for the iPhone.
10:20 a.m.: It has 70 million monthly active users, he says. Now they're demo-ing the game. The same farm you can build on Facebook can also be accessed on the iPhone.
10:21 a.m.: You can buy a snow leopard on the iPhone version only, Zynga says. Cute.
10:23 a.m. (Kent German): Hmmm. Not sure that more Farmville notifications are what we need.
10:23 a.m.: It will be available by the end of June.
10:23 a.m.: Next (and last, we think) is Activision. They're going to talk about Guitar Hero.
10:24 a.m.: Karthik Bala, SVP at Activision, says there's a new iPhone and iPod Touch version of Guitar Hero. He's showing a demo of how the app will work.
10:26 a.m.: You can download new songs to play right over the iPhone, Bala says. He's also giving us a nice air guitar demonstration.
10:26 a.m. (Kent German): Wow. The music got MUCH louder during this demo.
10:26 a.m.: The new version of the app is on sale today for $2.99. And they're off. Steve is back.
10:27 a.m.: He says last week they crossed 5 billion downloads from the App Store. His favorite stat, he says, is coming up. 70 percent of app sales goes to developers. To date, Apple has paid $1 billion to developers.
10:28 a.m.: There's a lot of cheering for that, naturally.
10:28 a.m.: Now, he says, he's going to talk about the iPhone.
10:29 a.m.: "There have been a lot of stats floating around about it. Some of them are OK. Some of them are questionable, you can make your own judgments about market share." For Q1 of 2010, Nielsen says RIM is No. 1 with 35 percent. iPhone is No. 2 with 28 percent. Windows Mobile with 19 percent. Android is 4th place with 9 percent.
10:30 a.m.: Mobile browser usage in the U.S.: iPhone has 58.2 percent. That's 2.5 times as much as Android's 12.7 percent. "This may help you put things in perspective," he says, to some laughs.
"It's hard to remember what it was like before iPhone," he says. Apps weren't the same. There was no free market for apps. iPhone changed that in 2007, he says.
10:31 a.m. (Kent German): The main event!
10:31 a.m.: IN 2008, we added 3G networking. 2009 we made the phone twice as fast. For 2010 we'll take biggest leap since the original iPhone.
We're introducing iPhone 4. "This is really hot," he says.
10:32 a.m.: There are 100 new features, but he's going to cover 8 of them. First, all new design. "Some of you have already seen this," he says. To great applause.
10:32 a.m. (Kent German): So not quite the iPhone 4G, but definitely not the iPhone HD.
10:32 a.m.: "Believe me, you ain't seen this. You gotta see it in person."
10:32 a.m. (Kent German): As expected, a mention of the lost iPhone saga.
10:32 a.m.: It's the most precise thing we've ever made. Glass on front, and back. Stainless steel around. Its closest kin is a beautiful old Leica camera.
10:33 a.m.: "It's really thin," he says, but doesn't specify how thin.
10:33 a.m. (Kent German): From the front it looks about the same, but the profile is different.
10:33 a.m.: OK, now he does: 9.3 mm thick. A quarter thinner than iPhone 3GS. Thinnest smartphone yet, he says.
10:34 a.m. (Kent German): Thinnest on the planet, but for how long? That race changes daily.
10:34 a.m.: There's a front-facing camera, a receiver, a microSIM tray, a camera with LED flash in the back. On bottom, a mic, 30-pin connector, and speaker. On top, a second mic, second sleep/wake button, and noise-cancellation button.
10:34 a.m.: People have wanted to know what the seam in the side of the phone is about, he says.
10:35 a.m.: It turns out there are three lines in the stainless steel structure of the phone. The slits in it are part of the engineering. It uses the stainless steel band as part of the antenna system.
10:35 a.m. (Kent German): Why is Apple pushing the micro-SIM format? Will be able to move the same SIM card between an iPhone and iPad? Or is it just to save plastic?
10:35 a.m.: Integrated antennae right in the structure of the phone. "Really cool engineering" he says.
10:35 a.m.: The glass is for better optical quality and scratch resistance, he says.
10:36 a.m.: Second new thing: A retina display. "What's that?" In any display there are pixels. With retina display we dramatically increase the pixel density. Four times as many in the same amount of space.
10:37 a.m.: More precision in display with more pixels. "We get really, really sharp text," he says.
10:37 a.m.: 326 pixels per inch.
10:37 a.m.: The crowd is impressed, lots of cheers.
10:37 a.m. (Kent German): Jobs pushed the antenna and its benefits. His first indirect nod to call quality that I remember seeing.
10:38 a.m.: 300 pixels per inch is the limit of the human retina, he says. So things start to look like continuous curves at that level. Text will look like a printed book, he says. We are comfortably over that limit. He shows us two side by side.
10:39 a.m.: "Once you use a retina display you can't go back," he says. With character-based languages it's "striking" and with pictures and video, the same effect, he says.
10:40 a.m.: He's now going to compare the iPhone 3GS' display versus the iPhone 4 for us.
10:40 a.m.: "We had to get special projectors for this," he says.
10:41 a.m.: Now he's showing us The New York Times, though the connection is hanging a bit. "The networks are always kind of unpredictable in here. If you're on Wi-Fi, if you could just get off, I'd appreciate it," he says.
10:42 a.m.: "I don't know what's wrong with our networks," Jobs says. He's silent for a bit. But now he's going to try some back ups, he tells us.
10:42 a.m. (Josh Lowensohn): @Jobs, we're on Sprint :)
10:42 a.m.: His phone says "Cannot activate cellular networks," to some laughs from the crowd. "Well geez. I guess I can't show you that much today. I can show you some pictures."
10:44 a.m.: He shows us the difference in picture quality. He's trying the phone demo again. "I'm sorry guys, I don't know what's going on." "Got any suggestions?" he asks. Someone shouts "Verizon." Jobs says, "We're actually on Wi-Fi here."
10:44 a.m. (Josh Lowensohn): Now your photos come with more wrinkles.
10:44 a.m. (Kent German): With the connection issue I wouldn't want to be the AT&T rep in the crowd.
10:45 a.m.: Now he's doing specs. 3.5 inch display. Same IPS (in-plane switching) display as iPad. "better than OLED," he says. Contrast ratio is 800 to 1. iPhone OS 4 makes it so your apps automatically run on the retina display, full size, he says.
10:46 a.m.: Apps will look better without you doing any work, he says. But you can help by putting in higher-resolution artwork.
10:46 a.m.: "We think this will set the standard for displays for the next several years."
10:46 a.m. (Kent German): Apple is always good at giving us something we didn't know we wanted. I never had a complaint about the current iPhone display resolution, but the new one looks great.
10:47 a.m.: Display is the most important component of the entire phone, he says.
10:47 a.m.: The iPhone is powered by the A4 chip, designed in-house.
10:48 a.m.: The iPhone 4 is packed to the gills on the inside, he says. He points out they used a micro SIM because it's smaller and they needed the space. The biggest thing in there is the battery. Now it's a little bit bigger.
10:48 a.m.: Since battery is bigger and A4 is good at power management. There is 7 hours of talk time now. 6 hours of 3G browsing, 10 hours of Wi-Fi browsing, and 300 hours of standby.
(Josh Lowensohn): That battery boost will give users an extra 2 hours of 3G talk time over what the 3GS can do.
10:49 a.m.: Environmental report card: arsenic-, mercury-, BFR-free, he says.
10:49 a.m.: Up to 32 GB of storage. Quadband HSDPA/HSUPA.
10:50 a.m.: Another new piece of hardware. We're taking it further, we're adding a gyroscope, he says. Lots of applause.
10:50 a.m.: A three-axis gyro with pitch, roll, and yaw. It's tied with accelerometer to provide six-axis motion sensing. New CoreMotion APIs for extremely precise positioning.
10:51 a.m.: Now he's going to demonstrate this. "Since this does not require the network I should be OK," he jokes.
10:51 a.m.: He's tilting the phone forward back and side to side and the game on screen corresponds. He rotates in a circle and the game rotates too.
10:53 a.m.: "I can't wait to see what you guys are going to do" with the gyro, he says to the developers.
10:53 a.m.: These phones are getting more and more intelligent, he says.
10:53 a.m.: Next up: the new camera.
10:54 a.m.: Everybody loves to talk about megapixels with photography. But we ask, how do you make better pictures? They're different things. But cell phone cameras are about capturing photons.
10:54 a.m.: We've gone from a 3-megapixel to 5-MP sensor, but we're using something that's new to smartphones, a back-side illuminated sensor.
10:55 a.m.: Gets the wiring out of the way. We've gone from 3 to 5 MP but kept pixels the same size, 1.75 microns.
10:55 a.m.: There's a 5X digital zoom, tap to focus, and LED flash built in.
10:55 a.m.: He shows us some photos taken from the iPhone 4.
10:56 a.m.: Camera also does HD video recording, he says.
10:56 a.m.: Lots of applause for that. 720p at 30 frames per second.
10:57 a.m.: There's also tap to focus for video. Can edit videos right on phone. Also has 1-click sharing and the LED flash will stay on for the HD video recording.
10:57 a.m.: We're going even further than that, he says. We've written iMovie for iPhone.
10:58 a.m.: He's bringing up Randy Ubillos, the chief architect for Apple's video apps, on stage to demonstrate it.
10:58 a.m.: He runs over the same things Jobs just told us. But now he's demoing it.
10:59 a.m.: Can use the app in portrait or landscape. You can record directly into a video timeline within the app. Can pinch to change the scale of the timeline. Or drag to trim/edit.
11:00 a.m.: Can pan/zoom, add effects, transitions, themes.
11:01 a.m. (Josh Lowensohn): CNET's Tom Krazit notes "It's rare for Apple to bring product-level executives on stage. They usually reserve that for just senior VP level people like Scott Forstall."
11:01 a.m.: The camera will bring in geolocation information, too, to the video.
11:01 a.m. (Kent German): Welcome the camera improvements. It's never been bad, but it could stand more features like these.
11:02 a.m.: He demos how you can add map info based on the location, along with photos, music, etc.
11:03 a.m.: OK, Steve is back on stage. You can buy iMovie for $4.99, "if we approve it," he jokes.
11:05 a.m.: He says he figured out why the demo crashed. There are 570 Wi-Fi connections in this room. Either turn off Wi-Fi or I give up. Would you like to see the demos? he asks. All you bloggers need to turn off your notebook Wi-Fis.
11:06 a.m.: OK, now onto iPhone OS 4.
11:07 a.m.: "We're renaming the OS. Now it's just iOS 4." Because it's on the iPad, iPod Touch, and iPhone.
11:08 a.m.: He's talking about the features, which we saw in April at the iPhone OS 4 event. Multitasking is something that took us a while to get. He quotes Larry Page from a few weeks ago about sofware running in the background running down the battery.
11:08 a.m.: "Yes, it does," Jobs says. "Unless you do it right."
11:09 a.m.: Now he's going to demo Pandora, playing us some Jack Johnson. He's checking e-mail while listening to music. Now he's launching a Web page (big applause that the Wi-Fi here works) simultaneously.
11:09 a.m. (Kent German): Steve's message about multitasking is similar to what he's said before about other features like cut, copy, and paste. They may not be first, but they get it just right.
11:10 a.m.: He shows us some mail features, with the unified in-box. Shows e-mail threading so you can see a whole e-mail conversation.
11:11 a.m.: Now he's going to create a folder to manage apps. By holding and dragging you can drag one app on another and a folder is automatically created. You can rename the folder and add more apps there whenever you want.
11:12 a.m. (Kent German): Multitasking, unified e-mail box and app folders were my most wanted features from the new OS. I liked the demo before and it looks good here, as well.
11:13 a.m.: He's talking enterprise integration now. Data protection, device management, wireless app distribution, deeper VPN support, Exchange Server 2010.
11:13 a.m.: On consumer side, we're adding Bing to the iPhone for search.
11:14 a.m.: Google will be the default, but now you'll have choice of Google, Yahoo, or Bing. Each has a different approach and how they format results, he says. "Micorsoft's done a really nice job on this, it has HTML5 presentation."
11:14 a.m.: Developers will get a Golden Master Candidate release of iOS4 today.
11:14 a.m. (Kent German): Interesting that Google is staying as the default search. Leading up to today we had heard rumors to the contrary.
11:15 a.m.: Another major milestone for iOS coming this month. "We will sell our 100 millionth iOS device," he says. That includes iPhones, iPod Touches, and iPads. "There is definitely a market for your applications."
11:16 a.m.: Back to iBooks. It's now coming to the iPhone. Same controls, highlighting, notes, and bookmarking. Same bookshelf as on the iPad, same ability to read a PDF.
11:17 a.m.: The iBooks Store is also available right on the iPhone and iPod Touch now too. You can download and purchase a book to iPhone, iPod, or iPad wirelessly. You can download the same book to all your devices at no extra charge.
11:17 a.m.: In addition, iBooks will automatically and wirelessly sync your current place, bookmarks, and notes across all your devices.
11:18 a.m.: So you can start it on your iPad, pick up on your iPhone, if you want.
11:18 a.m.: Now he's demonstrating what iBooks looks like on the retina display.
11:20 a.m.: Now he's showing the library, and opening a PDF. You tap to flip pages through a PDF, and can pinch and zoom as with other apps.
11:21 a.m.: There are 150 million accounts hooked up to the App Store, iTunes, and iBookstore. Most of any store on the Web, he says. "So people are ready to buy your apps."
11:21 a.m.: Now he's talking about iAds. Why are we doing this? To help our developers earn money to continue to create free and low-cost apps for users.
11:22 a.m.: He shows banners popping into The Wall Street Journal app. "We're trying to combine the emotion of video with the interactivity of the Web."
11:23 a.m.: iAds keep you in your app. The worst thing is to tap on a banner and be taken to some random Web site and somehow get back to where you left off before. If people don't click on ads, you don't make any money. iAds won't hijack users out of the app they're using.
11:23 a.m.: Apple sells and hosts the ads, so developers just have to tell them where to put the ads. And devs get paid 60 percent of the revenue.
11:25 a.m.: Apple started selling ads eight weeks ago. He's listing the companies: Nissan, Citi, Unilever, AT&T, Chanel, GE, Liberty Mutual, State Farm, Geico, Campbell's, Sears, JCPenney, Target, Best Buy, DirecTV, TBS Network, Disney.
11:25 a.m. (Kent German): iAds is a benefit to developers, but I don't see it as as a boon for users. But then again, this is a developers conference.
11:26 a.m.: These are "high-end brands," he emphasizes to developers. Nissan will advertise the electric Leaf car, for example. Jobs is showing what Nissan's Leaf ad will look like. Tapping on the ad makes the ad go full screen. If you want to go back to app, just click and you're back.
11:27 a.m.: He's showing how interactive Nissan's ad is. You can tap to find out the MPG of the car, for example.
11:29 a.m.: iAds will start July 1 for all iOS 4 devices.
11:30 a.m.: Advertisers have committed $60 million so far this year. That's about 48 percent of the entire expected U.S. mobile display advertising market, as predicted by JP Morgan. "We think we're off to a pretty great start," Jobs says.
11:31 a.m.: "Our goal is to help you earn money," he reiterates.
11:31 a.m. (Josh Lowensohn): CNET's Ina Fried points out that Microsoft's Bing will also be a search option in the Mac and Windows version of Safari.
11:31 a.m.: He asks what people think of the iPhone so far. He gets a big cheer.
11:31 a.m.: One more thing, he says.
11:32 a.m.: In 2007 when iPhone launched, he made the first public call onstage, he recalls. Now he's going to do the same today. He's calling Jonathan Ive, Apple's head designer.
11:33 a.m.: He's using the front-facing camera to make a video call. Jonny answers, big applause from the crowd.
11:33 a.m. (Kent German): If iAds is out July 1, will iOS 4 be out to users the same day or before?
11:34 a.m.: They're chatting about the technology in the phone and make a lunch date.
11:35 a.m.: The feature they just used is called "FaceTime" video calling. It works between iPhone 4 devices. No set-up required. Works anywhere there is Wi-Fi.
11:36 a.m.: Can make FaceTime calls in landscape or portrait.
11:36 a.m.: It's Wi-Fi only in 2010. We need to work a little bit with our providers. And Apple will ship tens of millions of FaceTime devices this year, he promises.
11:37 a.m.: He's showing a video of how people can use the FaceTime feature.
11:38 a.m. (Kent German): Good to hear FaceTime runs only over Wi-Fi for now. Definitely the best thing for users. Though I'm wondering what the next year could bring in cellular provider news. More U.S. carriers? A real 4G iPhone?
11:39 a.m.: FaceTime is based on a bunch of open standards, which he lists. We're going to standards bodies tomorrow and we're going to make FaceTime and open industry standard.
11:40 a.m.: That's the iPhone 4. It's the biggest leap we've taken since the original iPhone. Price and availability is up next.
11:40 a.m.: It comes in two colors: black and white.
11:41 a.m. (Kent German): Yay! The really good stuff. Price and release date!
11:41 a.m.: It's $199 for 16GB, same as 3GS. $299 for 32GB model. AT&T is going to make a "an incredibly generous upgrade offer." If your contract expires anytime during 2010, you can get the new iPhone 4 if you re-sign a new contract.
11:41 a.m.: "We're thrilled about that."
11:41 a.m. (Josh Lowensohn): Hmm, no 64GB model. That's a bummer.
11:42 a.m.: 3GS is $99 now, as suspected.
11:42 a.m.: On sale June 24.
11:42 a.m.: Preorders begin June 15. Will ship in U.S. and four other countries on the first day.
11:43 a.m.: By September it will ship in 88 countries. "Our fastest roll-out ever."
11:43 a.m. (Kent German): Decent pricing and upgrade offer by AT&T. Hopefully no additional upgrade fees if you move up from a device other than an iPhone.
11:44 a.m.: Time to talk accessories: $29 dock. Also, they've make their own iPhone case. Called a "bumper" so it covers the sides of the phone in multiple colors for $29.
11:44 a.m.: iPhone 3GS and iPhone 3G can upgrade iOS 4, though not all features will be supported.
11:44 a.m.: Same goes for iPod Touch, except for first generation.
11:44 a.m.: Upgrade for those devices will be free on June 21.
11:45 a.m.: That's new; iPod Touch users usually pay a small fee.
11:46 a.m.: Now we're getting another video demo, this time about the iPhone 4. They're running through all the features we've heard about so far today.
11:47 a.m. (Kent German): Remember that multitasking will not be avaialble on the iPhone 3G. It will get most other iOS 4 features, though. The 3GS will get multitasking.
11:47 a.m. (Josh Lowensohn): CNET's Maggie Reardon says: "Cisco has agreed to license the iOS trademark to Apple for use as the name of Apple's operating system for iPhone, iPod touch and iPad. The license is for use of the trademark only and not for any technology."
11:51 a.m.: OK, video's over and Steve is back.
11:52 a.m.: He's talking again about Apple being at the intersection of technology and liberal arts. He discussed it at the iPad introduction back in January.
11:52 a.m.: He says an example is the front-facing camera in addition to 18 months work on software that "you'll never even notice" when placing a video call.
11:53 a.m.: He's thanking all the teams at Apple who've worked their tails off. He asks Mark Papermaster and his hardware team to stand up and get acknowledged by the crowd, which obliges with applause.
11:54 a.m.: The design team, and the A4 chip team take turns too, as does Scott Forstall and the iOS software team.
11:54 a.m.: He also recognizes the operations team headed by Tim Cook, and the "rest of the Apple family." "I'm really proud of all you guys. Awesome job," he says.
11:54 a.m. (Kent German): No news about tethering even though AT&T's recent data plan changes mention the feature. Since the iPhone has always been capable, and AT&T was the holdup (iPhone carriers in other countries offer tethering), perhaps that's an AT&T-only announcement.
11:55 a.m.: "This is our new baby. I hope you love it as much as we do," Steve says.
11:55 a.m.: And that's a wrap. He exits the stage.
11:55 a.m. (Kent German): And the wait for the elusive Verizon iPhone continues.
11:56 a.m.: That's it for us too. Thank you everyone that joined us today for our live blog! We'll be digesting all of this new information and bringing you more analysis throughout the day at CNET, so check back often.
Editors' note: The original, bare-bones version of this story was posted June 4 at 2:09 p.m. PDT.