Apple Computer's Chief Executive Steve Jobs introduced an eagerly anticipated Apple-branded mobile phone with a touch-screen that combines features from the popular iPod music player.
Speaking at the company's Macworld conference today, Jobs said the device would be called the iPhone.
He earlier announced that movies from Paramount films will be sold in iTunes in addition to titles from Disney.
Mr Jobs also said Apple's iTunes store has sold more than 2 billion songs since inception.
He said the company has renamed its iTV device that will let users stream movies, music, photos, podcasts and TV shows to their home entertainment systems "AppleTV." The product will have a 40 gigabyte hard drive.
Apple has sold more than 70 million iPods since they were introduced and consumers have bought more than 2 billion songs for about 99 cents each on Apple's online digital music store iTunes.
More than 220 television shows, in addition to full-length films from Disney, are also available on iTunes.