Software upgrade will allow push email, new games, Word and Powerpoint and more.
Canny iPhone users have been playing with third-party apps for a while (checkout our top 5 list), but now Apple has opened the floodgates.
Today Apple demoed the iPhone 2.0 software beta, an important milestone in the iPhone's evolution because it will allow third-party apps to run on the device without any hacks. Version 2.0 will be available in June, and apps will be distributed by Apple via a new App Store.
Ideally, this will mean an end to the annoying situation where iPhone users must hack their devices to run downloaded apps, and in some situations "jailbreak" their devices in order for them to work again.
It's not open slather though. Apple says anyone will be allowed to develop apps for the iPhone using the new Software Developer Kit (downloadable now on the Apple site), but apps that appear on the App Store must be approved by Apple. Also, apps can only be distributed to iPhone users via the App Store. Apple will cover costs like Web hosting, but there is a US$99 fee for developers wanting to be part of Apple's iPhone Developer Program.
The other big news is Apple's decision to tap Microsoft to bring push email to the iPhone - bringing the device into the same business market as Blackberry and Windows Mobile smartphones. iPhone users will be able to connect to their company's Exchange Servers to automatically received email, contacts, calendars and address lists. iPhone 2.0 also introduces Powerpoint, Word and Excel compatibility.
The upgrade will also apply to iPod touch users, though once again touch users will be charged an upgrade fee, as happened with the last upgrade which introduced the ability to track your location using Google Maps.