Apple Computer CEO Steve Jobs announced the iPod maker's long-awaited leap into the mobile phone business and renamed the company just 'Apple Inc.,' reflecting its increased focus on consumer electronics, an Associated Press report said.
The Associated Press report said the iPhone, which will start at $499 when it launches in June, is controlled by touch, plays music, surfs the Internet and runs the Macintosh OS.
Jobs said Apple will 'reinvent' wireless communications and 'leapfrog' past the current generation of smart phones.
'Every once in a while a revolutionary product comes along that changes everything,' he was quoted as saying. 'It's very fortunate if you can work on just one of these in your career. "&brkbar; Apple's been very fortunate in that it's introduced a few of these.'
He said the company's name change is meant to reflect Apple's transformation from a computer manufacturer to a full-fledged consumer electronics company.
Apple shares jumped more than 8% on the announcements, while the stock of rival smart-phone makers plunged.