iPhone gets location savvy

Apple has released a software update for the iPhone which puts fresh focus on location-based services.

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The redesigned Maps application uses wi-fi and cellular base stations to triangulate a user's current location. The app also offers a hybrid map view - enabling street maps to be overlaid on satellite imagery in the style of Google Earth. The app's user-interface has also been given a makeover to improve usability, said Apple.

Other tweaks in the 1.1.3 iPhone software update include the ability to send a text message to multiple recipients, and customisable home screens. Users can also create up to nine different home screens to switch between, while a new feature called 'Web Clips' lets them create shortcut icons that link directly to favourite websites.

Apple is also pushing its iTunes Movie Rentals service - it said iPhone users can now easily transfer films from their computers to the iPhone for watching on its "gorgeous 3.5 inch screen".

A recent report by analyst house Berg Insight predicts the number of GPS-enabled handsets will more than triple over the next five years - giving a boost to mobile location-based services.