As expected, Apple CEO Steve Jobs unveiled a new iPhone at the Worldwide Developers Conference keynote earlier today. Named simply the iPhone 3G, the new smart phone boasts an updated design, 3G network connectivity, a built-in GPS, and a drastically reduced price.

The addition of 3G also doesn't hurt battery life too much: Apple claims the same 7 hours of video playback and 24 hours of audio playback, but with a 300-hour standby time instead of 250 hours. 2G talk time has gone up from eight to 10 hours, while 3G talk time is just five hours, and browsing is "5-6" hours (down slightly from six hours on the original). Along with the new hardware, software took up a big part of the keynote. The new iPhone has full Exchange support, and Apple plans to roll out new services including the App Store and MobileMe, a $99-a-year online service that will store 20GB of user data including e-mails, contacts, and calendars and allow synchronization between iPhones and computers. The iPhone App Store will allow users to download new software, including upcoming third-party apps like games, wirelessly.

An 8 gigabyte model is to sell for $199 starting July 11. A 16 gigabyte model will cost $299. They'll come in a black case with a white case optional on one model. The devices are to roll out initially in 22 countries. Apple has inked deals for wireless carriers in a total of 70 countries to carry the new iPhone