Developing Story - Apple CEO formally introduced the next-generation iPhone at the WWDC 2008 event. The new phone will become available on July 11 in 22 countries with 48 more following in the next several months. The 3G iPhone will be selling from $199 for the 8 GB model.

91 minutes into his keynote, and after lengthy software demos, Apple CEO Steve Jobs revealed what most of the keynote attendees had come for - the 3G iPhone. Thos who expected surprised may have been disappointed as most of the features of the new device have been discussed in Internet forums for several weeks.

Most noteworthy, the new features now include a GPS chip that integrates a tracking feature a much improved battery life (300 hour standby, 10 hour 2G talk time, 5 hour 3G talk time, 5-6 hours browsing, 7 hour video and 24 hour audio). The phone is slightly thinner than the first generation, includes a flush audio jack and a full plastic back.

The price of $199 for the 8 GB model ($299 for 16 GB) is likely to make the biggest splash. Jobs did not provide details on AT&T’s pricing, while we believe that the 2-year service contract requirement is likely to remain in place and AT&T may adjust its pricing model.

Jobs noted that Apple has sold 6 million iPhones so far. The first generation launched on June 29, 200 for $499 (4 GB) and $599 (8 GB).

More to come.