iPhoneApple made a lot of people happy during its annual conference this week, when it announced that they will be offering their entry level iPhone at half price ($99), while at the same time, unveiling a newer, faster model.

Although co-founder Steve Jobs is still absent on medical leave, Apple unveiled its iPhone 3G S Monday (June 8), which includes new features and a much faster processor, among other things.

While it looks the same, it has a longer battery life, an internal compass, auto-focus, and now offers a video camera. These are among the 100 new features of the latest installment of the popular mobile phone device.

On June 19, Apple will begin selling two versions of the new phone: one 16 GB and one 32 GB models, selling for $199 and $299, respectively. Of course, these prices are with a two-contract from AT&T for new customers.

The 8 GB iPhone 3G, which was released last year, now sells for $99. When the iPhone debuted two years ago, gadget enthusiasts shelled out $499 for a 4 GB version and $599 for 8 GB.

These prices are only for new customers. If you are already a customer and want to upgrade, it’ll cost you: $499 (8 GB), $599 (16 GB) and $699 (32 GB) with a new two-year agreement, according to the company’s Web site.

Apple has sold more than 40 million iPhones and iPod Touches to date, said report. Both devices do many of the same things except make phone calls.

Through its iTunes online store, Apple offers more than 50,000 applications, or apps, for its iPhones and iPod Touches. These software programs have been downloaded more than 1 billion times, the company said.