iPhone In January 2007, Apple introduced the iPhone on AT&T's ( T) network, setting a new standard in smartphone design and functionality, according to the technorati. The first iPhone was unveiled at Macworld 2007 at the Moscone Center in San Francisco and was very pricey. The first two models, a 4 GB version and an 8 GB version, cost $499 and $599, respectively. It garnered so much positive attention from the media that it was dubbed the "Jesus phone." In the first five quarters the phone was available, Apple sold 6.1 million units. The company evenutally cut the price by $200, and Steve Jobs apologized to users. The iPhone ushered in a new era of smartphones, and now accounts for more than 50% of Apple's revenue, per its latest quarterly filing.