Summary: Apple announces iPhone; AppleTV (formerly iTV) ships February; AirPort Extreme Base Station upgraded; over two billion songs sold through iTunes.

Apple CEO Steve Jobs has climbed the stage to deliver his keynote at the Moscone Centre. We'll be bringing you brief highlights from his speech as they emerge.

For a more in-depth view of proceedings, Apple is expected to release the entire presentation as a QuickTime movie for viewing online at some point after the keynote.

4:42pm: Apple's online stores across all territories have been shut down; Apple boss Steve Jobs is expected to climb the stage to begin his presentation within 30 minutes.

5:10pm: Fashionably late, the keynote seems set to begin.

5:20pm: The Intel transition; new Get A Mac ad features PC enduring major surgery to upgrade to Vista; Jobs brings up the iPod.

5:23pm: Two billion songs sold through iTunes. iPod has 62 per cent market share.

5:25pm: Paramount joins Disney selling movies through iTunes.

5:29pm: Apple's iTV device won't be called iTV: it's to be called Apple (logo) TV. It will be capable of storing 50 hours of 720dpi HD video on its 40GB hard drive and will be 802.11b, g and n wireless compatible. Offers USB 2, Ethernet, WiFi, HDMI connectivity. Streams content from up to five computers.

AppleTV will stream music, images, video and can access the QuickTime movie preview library.

5:40pm: Apple boss reveals $299 price tag. Device ships February.

5.44pm: iPhone, widescreen iPod and an internet communications device are to be launched today. And it's an all-in-one device Jobs is presently calling the iPhone. User interface is highly advanced — Apple has been working on this "for years" Jobs explains.

New iPhone runs Mac OS X. And is touch-activated — no stylus — you just use your finger. 3.5in screen, 2-megapixel camera, just one button on the front.

iPhone runs "desktop class" applications. It syncs through iTunes (includes email accounts and other data).

6pm: iPhone has Bluetooth and WiFi. It's quad band, GSM+EDGE phone. Mac and PC compatible. Laden, absolutely laden, with features — more depth on these later.

6:18pm: More news from inside the hall: iPhone has a full HTML browser — Safari; and supports Widgets, iChat, Mail, Google Maps. Jobs: "This is the first fully usable web browser on a mobile phone."

Phone offers free IMAP mail from Yahoo! to device. Connects to any POP or IMAP mail account. Email in split or single page view.

Apologies for the break. We had some access problems. To recap:

iPhone has built-in speaker, iPod headphones and Bluetooth headset is available;
Yahoo co-founder launches new mobile Yahoo search on this phone;
Apple and Google have been working closely together on this project, Google CEO and Apple board member Dr Schmidt confirms. Not a merger, a meeting of minds.

The device will be available in two breeds: one 8GB ($599), the other 4GB ($499). Won't ship in the US until June and "by the end of the year" in Europe. (One disappointed writer here, could be worse — it's scheduled for 2008 in Asia).

6:54pm: Phone has five-hour battery life for talk, video and browsing and 16 hours of audio playback.

6:57pm: Exclusive Cingular relationship confirmed.

Jobs confirms company is aiming for 1 per cent of the mobile market (global) by 2008.

Jobs reveals that Apple Computer won't be Apple Computer any more — it is now called Apple Incorporated. Move reflects Apple's new found markets — iPhone and iPod.

Apple boss signs off by thanking everyone who worked on the project and their families.