Apple is expected to announce the new iPhone next week at Apple's developers'conference next Monday. The new iPhone will be accompanied by support for corporate e-mail and a slate of new programs that could help boost sales of the devices, which sport a touch-sensitive screen, wireless Internet access and iPod-style media functions.

Analysts are also betting that Steve Jobs will show off a long-rumored phone running on a 3G network.

That would address one of the chief complaints about the current iPhone: the speed at which it calls up Web pages on AT&T Inc's pokey EDGE network.

There is also speculation Apple could bow to a cellphone industry practice and offer a subsidized iPhone, an arrangement where AT&T could kick in a couple hundred dollars to make the devices more affordable. AT&T already gives Apple a slice of the monthly service fees it gets from iPhone subscribers.

Some reckon that will include the ability to download songs from iTunes using the cellular network. IPhone users now have to be connected to a Wi-Fi network to get music from Apple's online store.

Apple will also roll out its highly anticipated support for corporate e-mail, a capability it showed off earlier this year and that is expected to give iPhone a push into business, which now overwhelmingly use Research In Motion Ltd's Blackberry devices.

Apple will also launch its iPhone "applications store" that will sell programs made by developers outside of Apple. The service marks an about-face for Jobs, who initially blocked third-party software from the device.