The iPhone 3G came one year after the first iPhone and addressed the primary shortcoming of the initial product by including support for 3G HSDPA technology. The only other major revision was the inclusion of a GPS chip. This enhanced the iPhone's location-based capabilities beyond its previous approach that was based on cellular networks and Wi-Fi.
The design was largely the same as the original iPhone, but with the addition of a flush 3.5mm headset jack (which was greeted with cheers by the Apple faithful at the launch event), a plastic back (rather than aluminium) and tapered edges.
The two-megapixel camera remained unchanged at a time when rival high-tier devices were gravitating toward five-megapixel sensors as a standard feature. Furthermore, video capture was not supported. There was no forward-facing camera for video calling.
The biggest news to emerge at the launch of the iPhone 3G was new retail pricing of $199 for the 8GB model and $299 for the 16GB version as a result of Apple allowing operator subsidy. The first iPhone (8GB) initially cost $599, although this eventually fell to $399.
Even at this early stage, Apple was clearly not afraid to challenge its competitors. During the launch it displayed an image of a Samsung phone to demonstrate the shortcomings of multitasking on the Windows Mobile operating system and made performance comparisons with the Nokia N95 and Treo 750, highlighting the relative slowness of these devices versus the iPhone.