One of the more interesting movies at the 11th Sundance Film Festival, which opens today in Park City, Utah, will be “Page One: A Year Inside the New York Times.”

The documentary is by Andrew Rossi, who spent a year following reporters and editors at the famed newspaper, even as the media landscape shifted dramatically due to the impact of digital technologies.

Here’s the program description from Sundance:

With the Internet surpassing print as our main news source, newspapers going bankrupt, and outlets focusing on content they claim audiences (or is it advertisers?) want, PAGE ONE chronicles the media industry’s transformation and assesses the high stakes for democracy if in-depth investigative reporting becomes extinct.

The film deftly makes a beeline for the eye of the storm or, depending on how you look at it, the inner sanctum of the media, gaining unprecedented access to the New York Times newsroom for a year. At the media desk, a dialectical play-within-a-play transpires as writers like salty David Carr track print journalism’s metamorphosis even as their own paper struggles to stay vital and solvent. Meanwhile, rigorous journalism–including vibrant cross-cubicle debate and collaboration, tenacious jockeying for on-record quotes, and skillful page-one pitching–is alive and well. The resources, intellectual capital, stamina, and self-awareness mobilized when it counts attest there are no shortcuts when analyzing and reporting complex truths.

What is probably most interesting is that many of the stories covered by the Times in the film are about the technological forces that have put it and other traditional media organizations through the digital ringer in recent years.

And, as someone who made the move away from a big mainstream newspaper to an online-only publication, I experienced some significant déjà vu watching clips in this interview with Rossi below, especially of the editor-centric tone of the newsroom and the franticness of reporters to get a story on the front page.

Which these days feels like such an odd and ancient way to think of journalism and which I also don’t miss for a second. (By the way, you can do “rigorous” journalism online too and without all the endless meetings.)

Check out Rossi (and that’s the very funny NYT media columnist David Carr in the photo below):

Now Flipboard, a social news-reading app based around Twitter and Facebook, is adding publisher feeds.

One thing’s clear: There’s a lot of excitement and energy going into how the iPad can re-create content consumption.

Flipboard is launching a beta test with eight publishers, including, full disclosure, All Things Digital.

The other publishers are ABC News, Bon Appétit, Lonely Planet, SB Nation, SFGate, Uncrate and the Washington Post Magazine.

Participating advertisers, through a partnership with OMD, include Pepsi, Gatorade, Infiniti, the CW Television Network, Showtime, Levi’s, Dockers, Hilton Worldwide, GE, Hawaii Visitors and Convention Bureau, Project (RED), Standup2cancer.org and Charity: Water.

They are contributing full-page ads that are inserted into longer-form articles.

During the beta period, no money will change hands between any of these parties, including our site, according to Flipboard CEO Mike McCue.

Later, McCue said he expects to add many more publishers to the Flipboard app, and perhaps help publishers create their own “iPadified” content experiences to distribute themselves.

Instead of prompting users to go to the iPad’s Safari browser to read full versions of articles, as it has done to date, Flipboard will now import partner publisher content and lay it out automatically. For these stories, Flipboard formats images, divides them into pages and offers different layouts for portrait and landscape modes.

McCue said Flipboard users’ No. 1 most requested feature is the ability to add content through RSS feeds.

But he’s not giving them that with this update. Users can still only subscribe to publishers through Twitter accounts and lists. The reason, according to McCue, is Flipboard is dedicated to the social aspect and beautiful design of content, and RSS contains neither of these things.

McCue speaks of scrolling through Web pages with advertising units and side bars as a relic of the early Web and crappy Internet connections, saying Flipboard represents a return to the pagination and image emphasis of print.

Unlike print, though, Flipboard doesn’t work offline; that’s a future feature, said McCue. He also said his team is still singularly devoted to developing for iPad, and will divert focus to Android tablets only after they have an established user base.

By the way–more full disclosure–seeing ATD content get iPadified in McCue’s demo wasn’t as fun and glossy as you might imagine, especially given our small images.

And in what might be a problem for other content publishers like us, the quick blog posts we often write are not as easily transferable to this layout, given Flipboard does not yet differentiate between short stories and longer articles.

Instead, the magazine pushed users to read its app in just the horizontal “landscape” mode, and essentially disabled the vertical “portrait” mode.

At the time, Time Inc. editor Josh Quittner said the publisher was doing so because:

• Viewing the app horizontally was better for users;
• Producing just one version of the app saved money;
• And since Apple wasn’t cooperating with Sports Illustrated‘s effort to sell subscriptions to the app, it didn’t make sense to throw more resources at the project.

That was back in September, and since then Time Inc. (like just about every other big publisher) has yet to reach an agreement with Apple about how to handle subscriptions in iTunes. But in the meantime, Sports Illustrated has apparently thought things over, because readers can once again view the app in landscape and portrait modes. Behold!

I only noticed the change today, but it turns out it has been in place since the magazine’s October 18 issue. What gives? Or what gave?

A statement from a Sports Illustrated rep doesn’t shed much light: “We are constantly exploring the iPad’s numerous functionalities for innovative ways to present Sports Illustrated to consumers. Each issue delivers something unique either in its design, functionality or content.”

So in the absence of better information, I’ll make a couple of guesses that aren’t mutually exclusive:

• I think app users complained quite a bit about the change, because conventional wisdom is that people like access to both modes, and they particularly enjoy reading magazine apps in the vertical mode, because that’s the way they read the paper-and-ink versions.
• Someone at Time Inc., or its parent company Time Warner, rethought the notion of negotiating with Apple by making its product look less attractive.

That said, it’s worth noting that Time Warner CEO Jeff Bewkes himself has been quite vocal, in a corporatespeak sort of way, about his company’s eagerness to work with tablet makers beyond Apple. (This mirrors what the magazine industry’s Next Issue Media joint venture is saying, too, by launching with Google’s Android platform first.)

Bewkes made noises about it during his company’s earnings call earlier this month. And he got more forceful about it–again, by his standards–yesterday during an onstage interview with the New York Times’ David Carr.

If somebody that makes a tablet–you can nominate who it is–wants to not have app support for what we’re going to put over the internet, they will degrade the capability of the tablet that you bought.

So if you’ve got a tablet that whoever gave it to you, they don’t want it work well, that will be their actions not ours…

You’re the customer, you bought the device. Are you going to tolerate a device, that doesn’t let its app support give you the full range of capability that is offered by the publisher or the network?

Because we’re going to be very public about what we offer, and it’s going to be all free, for anybody who buys the magazine. And if some tech company stands between you and that experience, they should answer to you.

In fact, it’s worth watching Bewkes deliver this speech in real time, and it’s a hoot to watch him onstage with Carr. If you’re in a rush, the magazine/tablet stuff kicks in around the 26-minute mark.

The publisher is rolling out its “best practices” for iPad ad makers this morning, via a press release and presentation. Most of this stuff seems like common sense to me: Take advantage of Apple’s (AAPL) device, but make sure readers know how to engage with the ad, etc. But again, it’s the very early days, and if you haven’t spent much time with the tablets, it will be news to you.

Ditto for the other findings in Condé’s research, which I would find more interesting if the publisher put them out in raw data form instead of qualitative assertions. But Condé thinks it’s worth sharing with the outside world. So if you want to take a look, too:

CONDÉ NAST RESEARCH OFFERS KEY CONSUMER INSIGHTS INTO
iPAD DIGITAL MAGAZINE APPLICATION ENGAGEMENT AND EXPECTATIONS

Results pave way for initial recommendation of “5 Best Practices” for advertisers

NEW YORK, October 13, 2010 – Condé Nast, which was the first magazine publisher to offer digital magazines on the iPhone and iPad, released key insights today derived from the first stage of a multi-phase research initiative evaluating consumer engagement. Based on over 100 hours of one-on-one interviews and more than 5,000 in-app surveys this early feedback on overall consumer usability, expectations, and sentiment has shaped initial recommendations on “best practices” for advertisers. Brands included in the study were GQ, Vanity Fair, Wired and Glamour.

Overall iPad and brand experience:
“We continue to see that reader engagement with our digital magazines apps, in terms of time spent, is on par with or exceeds our print editions,” said Scott McDonald, SVP market research, Condé Nast. “We were surprised to find however that many iPad users surveyed were not the typical tech “early adopter” or familiar with Apple products and their navigation conventions. This has very important implications for application interface design.”

Specific to Condé Nast digital magazines, eight in ten reported that the content and experience associated with the brands met or surpassed their expectations, and 83% reported a likelihood to purchase the next month’s digital issue. Eighty-nine percent felt the apps were easy to use and, on the whole, users showed little sensitivity to download times.

It was also noted that users preferred to read the magazines in portrait mode, but chose to watch video in the landscape orientation. There was also an expectation for flexibility in buying options, e.g., a single copy purchase, a digital subscription or supplement to their print subscription.

Advertising:
User recall and enjoyment were the basis for establishing the overall success of a particular ad.

The study showed that readers expected to find ads in digital magazines and expressed that their inclusion was an enhancement to the experience, which is often the case with printed magazines.

“When we initiated our R & D phase, we felt strongly that by choosing a multi-advertiser model for our digital magazines it would enable us to garner some valuable learning that we could pass on to our clients,” said Condé Nast Chief Marketing Officer Lou Cona. “With such a rapidly changing marketplace, we expect behaviors to evolve quickly; however, our initial results enable us to offer clients our five best practices for producing successful digital magazine creative, insights we feel will be helpful as the industry navigates this new medium.”

Condé Nast’s five best practices for creating advertising that will engage and resonate with the user:
1. Take advantage of This New Medium’s functionality: Users responded positively to the additional functionality of the iPad. Therefore advertisers that included compelling and unique experiences, that were self contained and exclusive to the environment, were liked more than those that did not. Increased opportunities for engagement including video, photo galleries and links to websites are recommended.

2. Provide Clear Instructions on How to Engage with Your App: As many surveyed were not familiar with iPad navigation, ads that included clear calls to action and cues on how to engage the creative were more effective. Icons should be clearly visible and intuitive and state whether more content or additional functionality can be found.

3. Supply Additional Information but Avoid Repurposing Creative Assets Used for Other Media: Users enjoyed advertisements that provided something new and useful. Including detailed product info and how-to’s are recommended, however re-purposing video or creative used for other mediums is not suggested.

4. Tell A Story: The most remembered ads contained narratives. The iPad’s ability to showcase various forms of media offers a unique opportunity for telling a brands’ story. However, it was discovered that users became bored when the same advertisement was used repeatedly throughout a single application.

5. Lead Them Down the Purchase Funnel: Brands that enabled a user to directly access and purchase the featured product faired better than companies who offered homepage links alone. It is also recommended that due to compatibility issues, Flash not be used.

The magazine used to give readers the ability to look at the app in “portrait” or “landscape” modes, but now it only offers the latter. If you’re holding the iPad vertically while using the app’s latest issue, the page won’t rotate like it used to. And you’ll get this odd error message at the bottom of the screen:

What gives? Josh Quittner, who has become Time Inc.’s digital/iPad guru, explains the publisher’s thinking on his personal blog: They think it’s a better way to look at big pictures, and it makes for a smaller download. But perhaps most important: It saves the magazine’s designers some work, since they don’t have to lay out two different versions of the iPad edition.

But wait a minute. The iPad is just a few months old, and iPad magazines are just barely off the drawing board. Is it cost-cutting time already?

Well, sort of, Quittner says, and here he gets around to his real point–Time Warner’s (TWX) magazine unit is still sore at Apple (AAPL) about subscriptions. (And boy oh boy is it excited about working with Google (GOOG) on its tablet platform):

Why not add more designers? Well, if we were able to build a real business, with subscriptions that offered our iPad versions to readers at a reasonable price, that would be a no brainer. But we can’t yet, so the best approach for us is to experiment with the format, marshal our (human) resources and start building products on other platforms that will allow us to scale up as our business grows.

Interesting approach, and I’m not sure it’s the one that’s really going to sway Steve Jobs. If I had to guess, I’d think he’d be much more likely to help out Time Inc. executives if their corporate cousins at Warner Bros. start renting out TV shows for 99 cents a piece on iTunes.

But we’ll see, I guess. Maybe the in-the-works Apple newsstand will be enough to appease the Time Inc. folks. Meantime, here are some detailed instructions about how to read the SI iPad edition:

Liveblog

9:13 am PT: Quite a scene here this morning; the queue for media credentials is nearly as long as some of the iPhone 3G launch lines I saw a few years back. Moments ago, an Apple PR rep slipped through the doors of the Yerba Buena Center to ask that the press waiting outside take two big steps back. The last time that happened to me, I was at a Jesus Lizard show.

9:54 am: The doors open and the press enters the event hall. Initially, at least, the scene is pretty crazy. “This is like the subway in New York,” an attendee behind me jokes. More like the subway in Tokyo, I think to myself.

A Bob Dylan soundtrack plays as media and guests file in. It’s momentarily interrupted by a “please take your seats, our event is about to begin” announcement.

10:00 am: Interesting stage set-up today: Instead of an empty stage or a simple table, there are a black leather chair and side-table. Lights are dimming….

And Steve Jobs takes the stage to a standing ovation.

“We want to kick off 2010 by introducing a truly magical product, but first a few updates….A few weeks ago we sold our 250 millionth iPod…I didn’t want to let that moment pass without recognizing it.”

10:05 am: Jobs offers a quick overview of Apple’s retail operations and some of the new stores it has opened recently before moving on to the iTunes App Store. “A few weeks ago we announced that three billion applications had been downloaded from the App Store–that’s in 18 months…amazing.”
He notes, as he did in the company’s earnings release the other day, that Apple is now a $50 billion company.

Apple is a mobile devices company, says Jobs, “the largest mobile devices company in the world now. Larger than Sony’s mobile device business, larger than Samsung’s and, astonishingly, Nokia’s as well.”

10:07 am: A quick historical overview now. Jobs touches on the first PowerBook, introduced in 1991. He moves on to the MacBook and then the iPhone.

“All of us use laptops and smartphones, now. And the question has arisen lately: Is there room for a device in the middle?…We’ve pondered this question as well.”

This “middle” device, says Jobs, must be better at doing certain tasks than either the laptop or smartphone. If there’s going to be a third-device category, it must be better at browsing the Web, video, photos, music, etc.

“Some folks say this device is a netbook…. The problem is, netbooks aren’t better at anything.”

10:10 am: But we have something that is, says Jobs, “and it’s called the iPad.”

Photos of the device appear on the giant screens. Very thin. Very slick. “IPad offers the best Web browsing experience there is–way better than laptops.” There is no camera that I can see. That’s not going to go over well with folks hoping for a device that supports video iChat.

10:13 am: Further details: The “iPad is a dream to type on,” Jobs says, pointing out its life-sized onscreen keyboard. It’s also an awesome way to enjoy media. iTunes, iTunes University and YouTube HD support are built in.

10:14 am: Jobs sits down to demo the device: “Using this thing is remarkable. It’s so much more intimate and capable than the laptop.” He loads Safari and surfs over to the New York Times (NYT). The iPad loads quickly and Jobs is able to easily navigate the page, loading stories and zooming in on articles.

10:15 am: Demonstrating landscape and portrait now. “This device adapts to the way I want to use it.”

Definitely an impressive browsing experience. Fast and elegant.

Now, an overview of Mail. Also elegant. Nice split-screen presentation. Hit compose, and a nice onscreen keyboard pops up. Jobs types out a message to his colleagues at Apple. Seems relatively easy.

10:19 am: Moving on to iPad’s photo capabilities. It supports iPhoto’s Events, Faces and Places features. It also offers built-in slideshows complete with soundtracks and transitions.

Running a slideshow demo, Jobs pauses and looks out at the audience with a Chesire Cat-wide grin. He’s clearly relishing this moment.

10:22 am:: The iTunes experience on iPad is much as you would expect. Similar, if not identical, to what the software currently offers. Calendar and Contacts apps are also nice and, again, similar to what you’d find on a MacBook or iPhone.

10:24 am: Demoing Google Maps now. The iPad supports Google Street View and the implementation is very slick.

10:25 am: Moving on to video. Jobs calls up an HD clip from Google’s (GOOG) YouTube and displays it in both portrait and landscape. That finished, he fires up iTunes and loads “Star Trek” to demo the device’s video features, scrubbing, etc. Then he shows us a clip from Pixar’s “Up.” Tap to go full-screen. “Isn’t that wonderful?”

10:27 am: Watching that is nothing like actually having one in your hands, says Jobs.

• iPad is one-half-inch thick, weighs 1.5 pounds, and comes with 9.7 inch IPS display–“very high-quality display”
• Full capacitive multitouch
• 16GB-64GB flash storage
• iPad is powered by our Apple’s custom silicon–“We did it inhouse and it just screams,” says Jobs.
• Wi-Fi, Bluetooth, accelerometer, compass.
• Battery life: 10 hours.

“And in addition to 10 hours of battery life, iPad offers a full month of standby time,” Jobs notes. “It’s also a good environmental citizen,” he adds, noting that it’s a very green device.

10:31 am: Jobs invites Scott Forestall to the stage to talk about apps on the device.

“We built the iPad to run virtually every app in the App Store right out of the box,” Forestall says.

Evidently, a built-in pixel-doubling feature automatically scales iPhone apps to full-screen iPad apps.

10:35 am: Forestall runs an unmodified racing game from the App Store. He first demos it in the screen size of an iPhone. Then, using the pixel-doubling feature, he blows it out to full screen. Very slick.

“So you can buy the iPad, take it home, hook it up and download all your iPhone apps and run them with no problem at all,” he says.

Forestall announces a new iPhone software development kit specifically geared to the iPad. He notes that iPad-specific applications will be featured “front and center” in the App Store.
He then invites Gameloft’s Mark Hickey to the stage to demo some new games the company has developed using the new SDK.

Hickey notes that the iPad’s additional screen space is a boon for developers, particularly those building games. He demos a first-person shooter that showcases this. “We’re now able to interact with the game world in ways that we weren’t able to before.”

10:40 am: Next up, the New York Times. Martin Nisenholtz takes the stage to talk about its iPad effort.

After talking up the Times iPhone app, Nisenholtz segues to the the paper’s new iPad app: “We think we’ve captured the experience and essence of reading the newspaper.”

The app is largely what you’d expect. Tap to resize text, zoom, breaking news updates, video. “This is everything you love about the paper and everything you love about the Web.”

10:44 am: Now, a painting application called Brushes that was famously used to create a New Yorker cover.
The app is impressive enough on iPhone; it’s even more so on the iPad. It supports “playback” of paintings, and as the presenter notes, brings us one step closer to a real virtual painting studio.

10:46 am: EA’s Travis Boatman take’s the stage. The topic of his presentation: Need For Speed.

“Building for the iPad is a little bit like holding a high-def TV screen a few inches from your face,” he says.

The iPad version of Need for Speed boasts a number of touch-activated enhancements: Tap on the car to view its interior, tap on the rear-view mirror to look behind you.

10:52 am: Up next: MLB.com’s Chad Evans. He demos the outfit’s iPad-optimized app, which uses the device’s additional screen space to display video excerpts and MLB TV.

MLB TV can be streamed like and enhanced with onscreen stats and data. “This big display really allows us to create a much more immersive experience,” Evans says.

10:52 am: Forestall returns to the stage to make another brief plug for the SDK before Jobs takes over for him.
“Let me show you another one of our apps that we’re very excited about,” Jobs says. “An e-book reader.”

Behind him a photo of Amazon’s (AMZN) Kindle appears. “Amazon did a great job with their reader and we’re standing on their shoulders here….Today we’re announcing the iBooks store,” says Jobs, adding that it will be supported initially by Penguin, Simon & Schuster and a number of other big publishers.

The iBooks Store interface begins with a simple bookshelf view. Tap the screen and it loads a more iTunes-like view. Purchase a book and it’s added to your bookshelf with a slick little animation.

The reading experience seems very appealing. Much more book-like. From where I sit, the pages look like they’re written on paper.

“We use the e-pub format, the most popular open-book format in the world,” says Jobs. “We think iPad is going to be a very popular e-reader not just for bestsellers, but for textbooks as well.”

10:58 am: And here’s another new product announcement: A new version of iWork tweaked for use on the iPad. Jobs invites Phil Schiller on stage to demo it.

“We have a completely new version of Keynote, a completely new version of Pages and a completely new version of Numbers–all optimized for multitouch.

Schiller demos Keynote first. Creating presentations appears intuitive and simple–a slide navigator on the left, tap to load individual slides in the main window, drag to rearrange.

Nice use of multitouch gestures to enhance the app. Pinch to resize photos, tap to insert animations and transitions. These are all fairly advanced techniques and the device seems to handle them well.

11:05 am: Moving on to Pages now. Also impressive, though creating a written document on a tablet device like the iPad seems like it might be a drag. A nice tool for editing, though. Simple controls.

11:07 am: Moving on to Numbers. This application also makes good use of multitouch gestures and boasts a data-entry keyboard along with some 250 built-in functions. The software’s gesture capabilities makes Excel look antediluvian.
Powerful and fast.

So what’s Apple going to charge for iWork? $9.99 each, says Schiller, who notes that all three applications are compatible with their Mac versions.

Jobs returns to the stage, grinning. “Isn’t that great?” he asks for what’s easily the 10th time. iPad, he says, will synch to Mac or PC via USB.

11:14 am: Evidently, there will be two iPad models–one with Wi-Fi-only and one with Wi-Fi and 3G. The 3G device will come with two plans: 250 MB per month for $14.99, unlimited data for $29.99.

And who’s the carrier? AT&T.

A small groan ripples through the audience.

Jobs allows that AT&T is also throwing in free Wi-Fi at its hotspots. He follows that up by noting that there are no contracts for the iPad. You can cancel at anytime.

All iPad 3G models are unlocked and they use new GSM micro SIMS, so chances are they will just work, Jobs says, after noting that Apple hasn’t yet worked out international carrier deals.

11:16 am: Now a quick overview as a wrap-up. Jobs touts the overall tablet experience along with the new iBook app and iBook Store. “This is an amazing product with tremendous breadth. What should we charge for it?…When we set out to develop the iPad we not only had aggressive UI goals, we had aggressive price goals, because we wanted to put this in the hands of as many people as possible….IPad pricing starts not at $999, but $499,” Jobs says to a huge round of applause.

$499 for 16GB base model.
32GB for $599.
64GB for $699.
Adding 3G requires an additional fee.

Apple will ship Wi-Fi models in 60 days and 3G models in 90.

11:20 am: Apple has created new accessories for the iPad: A standard dock and a second dock with a keyboard attached to it. “Keep one of these in your den and you can write the next “War and Peace” on it.” The final accessory, a new case that doubles as a stand.

Running a video now. It features a number of Apple execs enthusiastically talking up the iPad.

11:25 am: Let me circle back here for a moment to pricing. Adding 3G to iPad requires an additional $130. So we’re talking $629 for the 16GB model, $729 for the 32GB and $829 for the 64GB version.

Designer Jon Ives on the iPad: “In many ways iPad defines our vision, our sense of what’s next.”

11:32 am: Jobs returns to the stage and recalls the “middle device” scenario he mentioned earlier today. “Can we create this new category? The bar is set pretty high, but we think we’ve got the goods.”

“This is our most advanced technology in a magical and revolutionary device at an unbelievable price,” he adds. “The reason the iPad is going to be so great is because Apple has always strived to be at the junction of technology and liberal arts.”

And with that he concludes. Lights go up and Dylan begins playing over the speakers again.

View the slideshow

PREVIOUSLY:

• Apple’s Tablet: A $2.8 Billion Business?
• Apple’s Tablet: MacBook Airbus?
• Apple Announces Jan. 27 Special Event: “Come See Our Latest Creation”
• Major Apple Product Announcement Set for Wednesday, Jan. 27
• Apple Pitching Tablet to Publishing Industry; Spring Launch Expected
• Time (Finally) for the Tablet? Apple Developers Supersizing Their Apps for January Event.
• The Apple Tablet Is Delayed? So What?
• $1.9 Billion in Capex? What’s Apple Planning?
• Apple’s Tablet: Read Different?
• Imaginary Demand for Mythical Apple Tablet Exceeds All Estimates
• Apple Tablet Coming to AT&T?
• New From Piper Jaffray Analyst Gene Munster: The Apple iPad
• Rumored Apple Netbook Actually an E-Book?
• iTablet: Apple’s Killer App for Higher Ed
• iFugly

Sleeker than the somewhat boxy G1, the myTouch boasts longer battery life–up to six hours of talk time, one more than its predecessor–a 3.2-megapixel camera, a virtual keyboard that orients automatically from portrait to landscape mode and, more importantly, better customization.

Now that the Android Market has 5,000-strong range of applications, devices like the myTouch offer a more compelling proposition than even before. “No two myTouch devices will be alike,” Andrew Sherrard, vice president at T-Mobile, told News.com. “They will be as unique as the users that own them. What we have found is that once consumers know how to customize a device and they add everything they want on it, they respond very well to having a phone that is specially designed for them.”

Yep, they sure do.

But the iPhone is drawing increasing competition from entrenched smart-phone makers anxious to emulate the upstart. The most significant of these is Palm’s (PALM) impressive new Pre, which is off to a good start with an estimated 100,000 or so units sold since it launched on June 6.

So, like a shark, Apple (AAPL) must keep moving. This week, it is introducing two new products designed to consolidate and increase its position as the leader in this new generation of hand-held computers. I’ve been testing both and I like them a lot, with some minor caveats.

One of the new products is a refreshed model of the iPhone itself, called the iPhone 3G S. It looks the same, but offers more speed, more memory, more battery life, and a few new features, including video recording and a better camera for still photos.

The second is OS 3.0, the third version of the iPhone’s operating system, which comes on the 3G S and also can be installed on all prior iPhones and Touches. It includes a much longer list of added features, some innovative and some long overdue catch-ups to other phones. These include such widely requested capabilities as cut, copy and paste; systemwide searching; a wider virtual keyboard; and a feature called MMS that allows users to send photos and videos directly to other phones without using email.

Apple last week also made a bold business move to complement these new products. It decided to keep making the current model, the iPhone 3G, and to slash its price by 50%, to $99. That’s an unheard-of price tag for a pocket computer of this power and versatility, and gives millions of additional consumers a reason to choose the iPhone instead of a competitor.

In my tests, both the new phone and the new operating system performed well, with a few small exceptions. I believe the two strengthen the iPhone platform, make it likely the iPhone will continue to attract scads of apps, and are good for consumers.

But I also regard these changes as more evolutionary than revolutionary, and I don’t think this latest iPhone is as compelling an upgrade for the average user as the 3G model was last year for owners of the original 2007 iPhone.

Current iPhone owners can get an improved product by merely sticking with their existing phones and upgrading to the feature-laden new operating system, which is free (it costs $10 for iPod Touch owners), rather than shelling out at least $199 for the new iPhone 3G S. And many new iPhone buyers can opt for the $99 3G model, which is not only cheaper, but also greatly improved by the new OS 3.0.

On the other hand, power users will crave the new model’s much-better performance, battery life, storage and other features. And some will want the new model because, unlike the current model, it’s capable of handling a new cellular network feature that, in the next few years, will offer double the current data speeds.

The new, free operating system is available for download starting June 17. The iPhone 3G S will go on sale June 19 for $199 for a version with 16 gigabytes of memory, and $299 for 32 gigabytes of memory. Those memory capacities are double the amounts offered on the previous model last year at the same prices, and far exceed the built-in memory on most competing smart phones.

These prices are for new U.S. customers on the AT&T network, plus current owners who are eligible for what AT&T (T) calls a “standard” upgrade. If you already own an older iPhone, you could pay $200 more to upgrade, depending on how far along you are in your two-year service contract and how much you spend monthly. But AT&T, stung by criticism in recent days, has just decided to offer the lower, new-customer prices at launch to iPhone 3G owners eligible for upgrades at any time up to Sept. 30 of this year, even if they were originally told they’d have to pay the $200 premium.

Before I detail the new features and how they worked in my tests, let me state up-front what the new iPhone and its new operating system don’t deliver. The iPhone still lacks a physical keyboard. It still can’t run more than one third-party app at a time, as the Pre does. Its otherwise excellent Web browser still can’t play videos created in Adobe’s Flash software, which is widely used on the Web. And it still isn’t available on any U.S. carrier besides AT&T.

Also, AT&T won’t enable MMS until late this summer, even though dozens of other iPhone carriers in other countries are doing so immediately. And AT&T hasn’t set a date by which it will offer tethering, a new iPhone feature that allows the device to be used as a modem for a laptop. Other carriers in other countries are allowing this right away.

Here’s a rundown of the most important new features of both the new hardware and software, and how they performed in my tests.

The iPhone 3G S

Speed: To me, this is the most important feature of the new iPhone 3G S. In fact, the “S” in the name stands for speed. During my week of testing, the new model proved dramatically snappier in every way than my iPhone 3G. Its processor is 50% faster than in the prior model, and it sports a new graphics chip.

Applications opened much more quickly. Web pages loaded far faster. The camera was ready to use almost instantly. And I never once saw the occasional, annoying iPhone behavior where you strike a key while typing and it sits there, seemingly stuck, before you can continue.

Cellular-data speeds were about the same, but in repeated testing on different Wi-Fi networks, the 3G S racked up speeds 30% to 50% faster than on the 3G running at the same time on the same networks.

Battery Life: On my 3G iPhone, I usually could make it through the day, but it was often a close call, with the battery indicator winding up in the red. By contrast, the new model did much better, never hitting the red zone and rarely requiring interim charging at the office or in the car, even though, because I was testing it, I was pounding it much harder than usual, making more voice calls, playing lots of videos and music, trying numerous apps, constantly downloading email from two accounts, and syncing two calendars over the air.

Apple claims about the same talk time for the new model as on the old, and about the same Web-surfing time over the cellular network. But it says the 3G S gets about 50% more battery life when playing videos or surfing the Internet over Wi-Fi and 25% more time — an astounding 30 hours — for continuous music playback.

Memory: With the new 32-gigabyte model, I was able to store over 3,000 songs, more than 1,600 photos, 74 videos, 67 applications, 400 emails, nearly 1,000 contacts, months of calendar data, and dozens of documents, and still have 5 gigabytes left over—more than most phones offer out of the box.

Camera: The new model’s camera has a 3 megapixel resolution, up from 2 megapixels, and has autofocus and a feature that lets you tap the screen to change the focus to an object or person in the background of a shot. It still lacks zoom or a flash, though it does better in low light. It also has a macro feature for close-up shots. In my tests, all of this worked, but I didn’t think the pictures it took were dramatically better than those on the old model, and it can’t compete with phones like Nokia’s (NOK) new $700 N97, which has a 5-megapixel camera with zoom.

Video: The new video recorder worked well, even in low light, and lets you post videos directly to YouTube, among other places. You can also trim your videos right on the phone. This all worked well, but the videos aren’t high definition, and pale in comparison to those on the latest HD model of the popular $229 Flip pocket camcorder.

Voice Control: By simply holding down the new iPhone’s home button, you can dial contacts and control music playback by uttering voice commands. The phone will even tell you which song is playing. Like most voice-recognition systems, this one isn’t perfect. But it worked most of the time.

Compass: I don’t consider this important for most users, but it did work when I was walking or driving. It can orient maps in the direction you’re heading.

Small Touches: You can optionally turn on a new battery indicator that shows a precise percentage of battery life left. The screen has a new coating that resists oil and grease from fingerprints.

Downsides: The new phone crashed on me twice during my tests. Once, the voice-control feature killed the sound on the built-in iPod, requiring a reboot. But I couldn’t replicate this problem. Another time, the phone froze while downloading a TV show. Apple blamed this on a prerelease server issue, and it didn’t happen again.

iPhone Operating System 3.0

Copy, Cut and Paste: Apple is late with this common feature, but it’s the best implementation I’ve seen on a phone. In a text page, you just double tap on a word, and it is selected with little handles around it that let you expand or contract the selected area. Then, you just click on a copy icon that pops up over the selection. To paste, you tap elsewhere in the page, or even in another app, and a paste icon pops up. Click that icon, and the selected text is pasted in. It worked well in all my tests.

The feature works a bit differently for some Web pages, where you hold down your finger over an area and it selects a whole block of text, like a paragraph, but still has the handles that allow adjusting the selection. It also allows copying and pasting photos. You can also just select a word or a section or a whole page of text and delete it. And if you want to undo a paste, just shake the phone.

Some Web pages and third-party apps don’t yet support this feature, but most do.

Search: Before, you could search only in the Contacts app. Now, there are search features in Mail, Calendar, the built-in iPod and Notes. And there is a way to search the whole phone at once. You just hit the home button, slowly, twice, and a special search screen appears. Type in any phrase, and it brings up every instance in multiple apps.

This is another catch-up feature, but it works well. For instance, when I searched for the word “Phil,” it brought up songs by Phil Collins, a note about Philadelphia, calendar items mentioning people named Phil or Phillips, emails to or from people with those names, and contacts for people named Phil or Phillips.

In email, the search function will even find messages that aren’t on your phone but that are stored on the servers of certain email services. For instance, I was able to almost instantly find emails from two years ago stored on Google’s (GOOG) Gmail.

One downside — in email, search looks for words only in email headers, not in the body of the messages.

Landscape Keyboard: In older iPods, the only built-in program that supported a wider, landscape keyboard, which is better for thumb typing, was the Web browser. Now, you can turn the phone horizontally and use a landscape keyboard in the Mail, Messages and Notes programs as well.

Find My iPhone: If you belong to Apple’s $99 a year MobileMe service, you can now locate a lost iPhone on a map on any computer, send the iPhone a message saying how to return it to you, and cause it to emit a beep, even if the sound is turned off. I tested this and it worked well. You can even remotely wipe all your data off the phone.

Voice Memos: The OS includes a Voice Memo app that lets you dictate reminders or other messages, and then edit and email them. I found it worked well.

Navigation: Another catch-up feature, turn-by-turn navigation with voice prompts, is also now supported. I tested this with a third-party app called Gokivo, and it did OK, though the developer admits to a prerelease bug I encountered.

Auto-Authentication: In the new OS, the iPhone can remember your log-in credentials for commercial Wi-Fi hotspot services, so you don’t have to enter them again and again. Unfortunately, in my tests with the AT&T Wi-Fi service, this failed repeatedly in several Starbucks (SBUX) shops. Apple blames a glitch in my prerelease phone’s SIM card.

Push Notification: To make up for its lack of multitasking, the new iPhone OS has a feature where third-party apps can notify you of new events, like a sports score, or a new invitation to an online game. I tried this with a game called TapTap Revenge, and it worked fine.

Stocks: The built-in stock application now has much more detailed data, including market cap, news headlines and price/earnings ratio for each stock.

MMS and Tethering: I couldn’t test these useful features because my tests were all done on AT&T, which hasn’t rolled them out.

Minor Touches: You can now move an icon among screens with one continuous motion, instead of stopping at each screen. And there are two more screens to house icons. You can finally synchronize Notes with your PC or Mac. You also can now maintain both calendars and contacts synced wirelessly with online services and those synced via cable with your computer. And you can play games and transfer files wirelessly over Bluetooth with other iPods or Touches that are nearby.

Bottom Line: Both the new iPhone and iPhone OS are packed with features that make a great product even better. But, for many users, the software may be enough of a boost to keep them from buying the new model.

Find all of Walt Mossberg’s columns and videos online, free, at the All Things Digital Web site, walt.allthingsd.com. Email him at mossberg@wsj.com.

]]> http://allthingsd.com/20090617/new-iphone-is-better-model-or-just-get-os-30/feed/ 0 http://allthingsd.com/20090610/the-latest-kindle-bigger-not-better-than-its-sibling/ http://allthingsd.com/20090610/the-latest-kindle-bigger-not-better-than-its-sibling/#comments Thu, 11 Jun 2009 01:04:03 +0000 Walter S. Mossberg http://ptech.allthingsd.com/20090610/the-latest-kindle-bigger-not-better-than-its-sibling/ There’s a brand-new variant of the Amazon Kindle e-reader, and it’s available from the online bookseller starting this week.

This alternative Kindle, called the DX, is a super-size version of the popular Kindle 2, which arrived earlier this year. It sports a 9.7-inch screen, some 2.5 times as big as the surface area of the Kindle 2′s 6-inch display. It also sports a higher price tag — $489, versus $359 for its smaller sibling, which remains on the market.

Amazon’s Kindle DX

Like previous models, the Kindle DX allows you to shop for, and wirelessly download, any e-book in Amazon’s (AMZN) growing catalog — now about 275,000 titles. It uses the same easy-on-the-eyes screen technology as the smaller model but at a higher resolution. It still lacks color, and renders images only in gray scale. But the new DX adds a new capability: auto-rotation, which allows you to read in landscape mode.

This new, larger model isn’t primarily aimed at readers of standard books. It is targeted at three markets: textbooks, newspapers and other periodicals, and business documents in either Microsoft’s (MSFT) Word format or Adobe’s (ADBE) PDF format.

Unfortunately, I’ve been testing the Kindle DX and I didn’t like it nearly as much as the Kindle 2, which I own and enjoy using daily. While it performs its promised tasks adequately, I found that its size and weight made it awkward and tiring to hold for long periods of reading. It’s still fairly thin and light, but it’s 85% larger and heavier than the standard Kindle.

In addition, Amazon has degraded the user interface. To prevent the device from being even larger, the company had to remove the left-side page-turning buttons, confining all the controls to a vertical strip on the right. The keyboard at the bottom is also more vertically cramped.

If you’re left-handed, you have to spin the device around and rotate the screen to get buttons on the left, where they appear with their labels upside-down.

Similarly, if you choose to read in landscape mode, all the navigation controls, including the joystick for moving the cursor, will be awkwardly placed at either the top or bottom, far from where your hands are holding the device, and the keyboard essentially will be unusable.

In my view, the Kindle DX would have been a better product with on-screen touch controls that could instantly adapt to its size and orientation.

In reading standard books on the DX, I also encountered instances where the text on a page varied in shade from light gray to black.

I had mixed results with business documents. As with previous Kindles, you can either email personal documents to your device, for a fee, or drag them onto the Kindle via a cable, for free. But, unlike the smaller models, the new DX has PDF display capability built in, so it renders PDF files much more accurately than the older Kindles. That is a big improvement. It also allows you to view Excel and PowerPoint files if you save them in PDF format before sending them to your Kindle DX.

The Kindle DX, right, is a large-screen version of the popular Kindle e-reader, left.

I tried a variety of documents, and in many cases the results were great. The text was crisp, and the tables and graphics looked like they should. But I found that on some of these PDF documents, the text was too small to read. Yet, the Kindle lacks the ability to zoom in on PDF documents. You often can make the type larger by rotating to landscape mode, but this splits the PDFs into multiple pages, sometimes breaking them awkwardly.

Also, Amazon has raised its fees for converting and delivering business documents via email to all Kindles. The charge was formerly 10 cents a document. Now, it’s 15 cents per megabyte, which can add up if you load up your Kindle with lots of large documents. Most of my test documents, which were fairly small, cost over $1 each.

Newspapers looked about the same on the DX as they do on the smaller Kindles. Despite the larger screen, they don’t use traditional print or Web layouts, but a special Kindle layout that some users like a lot, but which I find annoying because it makes it harder to quickly scan multiple headlines.

The Kindle DX does have some nice touches. For the extra money, you not only get a larger screen, but also about twice the storage capacity. Also, because the screen is wider, you can adjust the margins on the DX, to obtain a line length that’s comfortable for your eyes and optimal for reading speed.

Amazon claims the same multiday battery life for the DX as for the Kindle 2. In my tests, I was able to go for several days of moderate reading without recharging, and much more if I turned off the wireless capability.

Although I wasn’t able to test college textbooks, I suspect they may be the killer app for this product. Many already are so expensive and heavy they could make the weight and price of the Kindle DX seem trivial in comparison.

But for standard books, I’d stick with the smaller, more comfortable Kindle 2.

Find all of Walt Mossberg’s columns and videos online, free, at the All Things Digital Web site, walt.allthingsd.com. Email him at mossberg@wsj.com.

]]> http://allthingsd.com/20090610/the-latest-kindle-bigger-not-better-than-its-sibling/feed/ 0 http://allthingsd.com/20090506/quickoffice-brings-editing-to-iphones-but-put-it-on-hold/ http://allthingsd.com/20090506/quickoffice-brings-editing-to-iphones-but-put-it-on-hold/#comments Thu, 07 May 2009 01:04:03 +0000 Walter S. Mossberg http://ptech.allthingsd.com/20090506/quickoffice-brings-editing-to-iphones-but-put-it-on-hold/ I am typing these words in a full-fledged word processor on an Apple iPhone. It’s a third-party app that allows you to edit, format or create Microsoft Word and Excel documents, and then send them back to a PC or Mac where they can be opened in Word or Excel. Oh, and it has cut, copy and paste in its word processor — a capability long missing from the iPhone that isn’t due from Apple (AAPL) itself until this summer.

Devotees of older smart phones, tired of iPhone hype, will be quick to note this is no innovation. Devices like Windows Mobile phones, Palm (PALM) Treos and BlackBerrys have made these abilities available for years. But, for the 37 million iPhone and iPod Touch owners, it’s potentially a major step forward, closing a hole in a hand-held computing platform that is otherwise more elegant and versatile than any other.

This new app, called Quickoffice, has some nice features. Its cut, copy and paste function is very well designed. It can save files locally on the phone. It has a built-in email function for sending files to others, and it can upload or download files to and from a PC or Mac, or to and from online storage.

But there’s a catch. While Quickoffice, which is also available on other platforms, did work OK in my tests, it has some major drawbacks that keep me from recommending it right now. The product’s maker, Quickoffice Inc., acknowledges these and is working to fix them by summer. But, especially because Quickoffice costs $19.99, a Rolls-Royce price in the iPhone’s app store, you might want to hold off on buying it until the fixes are in place.

In particular, Quickoffice can’t simply load and edit any Word or Excel file you receive as an email attachment. The company claims this is a built-in iPhone limitation, but it’s still a big problem for users. Instead, to get files into Quickoffice for editing, you have to transfer them using a Wi-Fi network from your PC or Mac, or from the iDisk online storage feature of Apple’s MobileMe Web service, which costs $99 a year.

Also, amazingly, Quickoffice shipped without any automatic typo-correcting function or spell checker. For various technical reasons, it couldn’t even use the one built into the iPhone. So, you have to do a lot of correcting of typos once the file gets onto a computer. For instance, the first words of this column, as originally created in Quickoffice, read: “I am typing these words in a full-feledged word pricessor … ” I had to clean them up in Word on my laptop.

The Quickword app on iPhone

And, while you can view a text or spreadsheet file in landscape mode, you can do only limited editing of text documents in this mode, and no editing at all of spreadsheet documents viewed in landscape.

Quickoffice for the iPhone consists of three modules. One is Quickword, the word processor. The second is Quicksheet, the spreadsheet program. These two, also separately available from the app store at $12.99 each, can handle standard Microsoft (MSFT) .doc and . xls files, but not Microsoft’s newer .docx and .xlsx formats. The third module, called Quickoffice Files, merely transfers and displays files, but doesn’t allow editing or creating them. It handles a much wider variety of file types, and is sold separately for $1.99.

Cut, copy and paste is implemented nicely. You simply double-tap to select a word or triple-tap to select a paragraph. Small dots appear at either end of the selection, allowing you to expand or contract the selected section of text. Once your selection is done, you can then cut it or copy it, or change its formatting. To cut or copy your selection, you just choose cut or copy from a popup menu. To paste, you tap once elsewhere in the document, and then select Paste from a popup menu. You can paste text copied or cut from one Quickword document into another, but not into any other app on the iPhone. (Apple will add that ability this summer.)

Quickword is the better of the two main modules. It has an impressive suite of features, including the ability to bold or italicize characters, change fonts and colors, create bullet points, and undo or redo changes. All of this formatting was retained correctly when I transferred the files to a computer, and vice versa. Quickword doesn’t have every feature of Word on a computer, but its feature set is strong.

Quicksheet has 125 functions. It also does formatting of cells well, and has undo and redo. Again, it isn’t as powerful as Excel, but its capabilities are decent. Unfortunately, unlike in the word processor, I found some problems in Quicksheet. In one simple spreadsheet I imported, it failed to properly display text that stretched across multiple cells, and failed to do a simple recalculation that worked perfectly in Excel. Also, it lacks cut, copy and paste.

Getting documents into the app is a pain. Unless you have a MobileMe account, on either Windows or Mac, you have to type a geeky numerical address into a Web browser and then choose a file from your computer using the browser page that comes up.

Quickoffice is an OK start, but it needs a lot of work.

Find all of Walt Mossberg’s columns and videos online, free, at the All Things Digital Web site, walt.allthingsd.com. Email him at mossberg@wsj.com.

]]> http://allthingsd.com/20090506/quickoffice-brings-editing-to-iphones-but-put-it-on-hold/feed/ 0 http://allthingsd.com/20090311/a-stylus-for-the-iphone/ http://allthingsd.com/20090311/a-stylus-for-the-iphone/#comments Wed, 11 Mar 2009 22:04:02 +0000 Walter S. Mossberg http://mailbox.allthingsd.com/20090311/a-stylus-for-the-iphone/ Here are a few questions I’ve received recently from people like you, and my answers. I have edited and restated the questions a bit, for readability.

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I am a Palm Treo user and would like to get an iPhone for the apps. But I have tried the virtual keyboard on the iPhone in the store and hate it. Is there a stylus you can use for better accuracy, or some software trick?

I don’t know if they improve accuracy, but there are several stylus brands made for the iPhone and iPod Touch. They are aimed at making typing easier, especially if you have long nails or are wearing gloves. One example is the Pogo, a $15 iPhone stylus from a company called Ten One Design, at tenonedesign.com.

In addition, there are several iPhone apps that attempt to help typing accuracy by allowing you to compose emails, text messages and Twitter posts using a wide, landscape keyboard rather than the narrower standard keyboard. You type your message in these apps, and then the app sends them to the iPhone’s email program for transmission. One that I have used is called TouchType. It works with email and Twitter, and costs 99 cents.

Another interesting solution is a free app called ShapeWriter, which lets you type by sliding your finger along a keyboard to connect the letters in words. You never have to lift your finger until you are done with a whole word. Messages you compose in ShapeWriter can be saved as notes or shipped to the email program for sending.

Finally, I should note two things about typing on an iPhone. First, it’s difficult to know if you’ll be comfortable with it from just a few minutes in a store, because it usually takes a few days to master. Second, some people won’t ever find it acceptable, and these folks should choose a phone that has a physical keyboard.

In your review of the new version of the Safari Web browser, you said some Web sites were publishing methods for undoing some of the changes in it that you criticized. Can you explain how I can do that?

There are two methods for changing Safari 4 so it looks and works more like the previous versions, while retaining its faster speed. One method involves typing techie commands into the computer. But, for mainstream users, I recommend another: downloading a new free utility called Safari 4 Buddy. It’s available at swoon.net/site/software.html.

Safari 4 Buddy allows you to just check off buttons that can change the placement of tabs in Safari 4 so they’re under the toolbars, rather than at the top of the screen, and restore the blue page-loading progress bar that Apple killed. It also permits users to change other settings Apple omitted from the browser’s Preferences menus. I have tested it and it works.

However, this utility works only on the Mac version of Safari 4. I don’t know of any way to make these changes in the Windows version. Also, there’s no guarantee that Apple won’t make future modifications to the browser that might reverse any customizations Safari 4 Buddy makes.

• You can find Mossberg’s Mailbox, and my other columns, online free of charge at the new All Things Digital Web site, http://walt.allthingsd.com.

]]> http://allthingsd.com/20090311/a-stylus-for-the-iphone/feed/ 0 http://allthingsd.com/20081119/blackberrys-storm-presses-into-the-touch-phone-fray/ http://allthingsd.com/20081119/blackberrys-storm-presses-into-the-touch-phone-fray/#comments Thu, 20 Nov 2008 02:32:02 +0000 Walter S. Mossberg http://ptech.allthingsd.com/20081119/blackberrys-storm-presses-into-the-touch-phone-fray/ To its fiercest devotees, one of the best things about the BlackBerry is its carefully designed physical keyboard, which the skilled BlackBerry addict can play like a violin. These folks scorn Apple’s popular iPhone, whose keyboard is virtual and must be operated by tapping on the screen.

But, on Friday, Verizon Wireless and Research in Motion (RIMM), the BlackBerry’s maker, will do the unthinkable: They will introduce a BlackBerry model without a physical keyboard, one where typing and navigating require tapping on glass, just as users do on the iPhone. This new model is called the BlackBerry Storm, and will sell for $250 with a two-year contract, though a $50 mail-in rebate can bring the price down close to the $199 that Apple (AAPL) charges for the base model of the iPhone.

Despite its lack of a keyboard, the Storm is a real BlackBerry in every other respect, with push email, corporate features and the familiar BlackBerry menus. In many respects, the Storm is a touch-based, large-screen version of the recently released BlackBerry Bold, which is the most polished version of a traditional BlackBerry. It is also the latest member of the new class of hand-held computers, the super-smart phone category kicked off by the iPhone last year and joined by the Google G1 earlier this year.

The Storm sports a large, high-resolution touch screen that fills most of its surface and automatically switches from portrait to landscape mode when the phone is turned. There’s also a forthcoming souped-up download store for third-party software, meant to be similar to the ones on the iPhone and the Google (GOOG) phone. And the Storm can even be used in European and other countries where most Verizon (VZ) phones don’t work.

BlackBerry Storm’s touch screen switches from portrait to landscape mode when turned, and aims to make typing on glass feel more like typing on a real keyboard.

However, the biggest innovation in the Storm is a clever feature RIM hopes will give it a big advantage over the iPhone. When you strike a key or icon on the Storm’s screen, you feel a physical sensation, as if you were pressing down on a real key or button. That’s because you are, in fact, pressing a real button. The entire glass display is one large button, mounted on a mechanical substructure that allows it to be depressed when pressure is applied.

The idea behind this feature is to make typing on glass feel much more like typing on a real keyboard, and thus to make the virtual keyboard, and the touch interface, more acceptable to people used to physical keyboards and buttons. This push-down screen also replaces the side-mounted scroll wheel or track ball on other BlackBerrys for activating menu choices and icons.

But, in my tests, this physical feedback feature, which RIM calls SurePress, didn’t magically turn the Storm’s touch interface and virtual keyboard into their physical counterparts. The feature does provide a more reassuring confirmation that a key has been struck or an icon has been clicked than the mere visual feedback one receives from the iPhone. But neither I, nor any of the several BlackBerry addicts I asked to try it out, considered typing on the Storm’s keyboard to be very similar to using the keyboard of a traditional full-sized BlackBerry.

In my opinion, using the Storm’s keyboard is much more like using the iPhone’s keyboard than a traditional BlackBerry’s. I found that I could type quite well on the Storm after awhile, but that a greater adjustment, and more practice, were required than with a physical keyboard.

The Storm also has a keyboard oddity that I found annoying, and that may put off others. It presents you with a full virtual keyboard only when you are holding it horizontally. When you hold the Storm vertically, you get a mashed-up keyboard, like the one on the narrower BlackBerry Pearl, which has multiple letters on each key. This keyboard design relies on software to guess which letter you meant to press. You can also switch to a virtual cellphone-style keypad that requires you to hit each key multiple times.

From left, BlackBerry Storm, Google G1, and iPhone 3G

This is a curious design decision. Once a company ditches a physical keyboard for a virtual one, it can create all kinds of keyboard variations. RIM could have offered a full, vertically oriented keyboard, even if it would have had smaller, more closely spaced keys.

RIM also failed to customize the Storm’s virtual keyboard for some common, specific tasks. For instance, on the iPhone, when you are typing in a Web address in the browser, the keyboard morphs to offer a convenient key that automatically enters “.com”. Not so on the Storm.

There’s another glaring deficit in the Storm: It lacks Wi-Fi capability. This means that, unlike on the Bold, the iPhone or the Google G1, if high-speed cellphone data service is absent or pokey, you can’t fall back on speedy Wi-Fi connections in public places. And, at home or in the office, you can’t take advantage of Wi-Fi connections that are often much faster than cellphone data networks.

The Storm has some important advantages over the iPhone. Its screen, while 7% smaller physically, offers about 13% higher resolution. Photos and videos look beautiful on it. It has much better battery life for phone calls than either the iPhone or the Google G1. While the latter two phones deliver just under their claimed five hours of talk time, in my tests, the Storm lasted a bit over six hours, which is actually half an hour more than its claimed 5.5 hours of talk time. And the Storm has a removable battery, unlike its Apple rival.

This new BlackBerry comes with more memory than the similarly priced base model of the iPhone — nine gigabytes versus eight gigabytes. And, unlike the iPhone’s memory, the Storm’s is expandable, via larger flash cards.

The Storm’s camera is much better than the iPhone’s, at 3.2 megapixels, versus just 2 megapixels for the Apple device. It also has zoom and flash, features the iPhone’s camera lacks. And, unlike the iPhone or the Google G1, the Storm can record videos. In my tests, all of these camera features worked well.

Also, the Storm has copy and paste functionality; MMS (a service for sending photos directly to other phones without using email); voice dialing; and the ability to act as a modem for your laptop. It also allows you to edit, and not just to view, Microsoft (MSFT) Office documents. All of these features are missing from the iPhone out of the box.

The Storm also has a better speaker than the iPhone, and a noise-canceling microphone system. Phone calls, even on speaker phone, were crisp, clear and plenty loud. Physically, the Storm is attractive but hardly svelte. While it’s about the same length and width as the iPhone, it is 15% thicker and 17% heavier — almost as heavy as the chunky G1.

The Verizon high-speed network on which the Storm runs is older and better-established than either the T-Mobile (DT) high-speed system the G1 uses or the AT&T (T) 3G network used by the current iPhone. Where Verizon’s high-speed data coverage is strong, the Storm flies.

But, because it lacks Wi-Fi, the Storm can be much slower at Web access than its main competitors. I tested these Web speeds in two hotels in Silicon Valley. In the first, where Verizon reception was strong, the Storm trounced the iPhone on cellphone data speeds, averaging over 800 kilobits per second to the iPhone’s 621 kbps over AT&T. But, when I switched the iPhone to use the hotel’s Wi-Fi network, it beat the Storm by 100 kbps or so.

At the second hotel, barely a mile away, the Storm’s lack of Wi-Fi hurt much more. There, Verizon’s signal was poor, and data speeds on the Storm averaged a horrible 96 kbps. But the iPhone on AT&T averaged 459 kbps, and on Wi-Fi the iPhone averaged 785 kbps.

My test Storm, which was a near-final model missing only a few minor software tweaks, was also sluggish at some tasks. It took noticeably longer than the iPhone to flip the first photo from landscape to portrait orientation, or to start the process of flipping through a series of photos by swiping them with a finger. And some other tasks were also slow. It’s possible that production models will be quicker.

Rim has tweaked the familiar BlackBerry user interface for the touch screen, and in general these changes worked well. You select the menu item or icon you want with a light touch, then press down on the screen to activate or confirm your choice. There are even a couple of cool new touch features. For instance, in a list of emails, if you lightly touch and hold one entry, the Storm shows you all messages in that thread.

But this combination of a light touch followed by a hard press on the large screen took some practice, just like typing did. It befuddled several BlackBerry veterans at first.

And some common tasks took more steps than on the iPhone. For instance, emailing a link from a Web page required four steps on the Storm, versus two on the Apple device. The Storm’s email system will be familiar to every BlackBerry user. It has the same corporate email features as other BlackBerrys, and I was easily able as well to use a BlackBerry Internet email account and to set up several personal email accounts, including Gmail.

The Web browser is much improved over the one in older BlackBerry models, and offers multiple ways to view and navigate pages, including one in which a finger moves a cursor, just as on a PC. But I found that panning and zooming in the browser was a bit slower and more awkward than on the iPhone. And, to make some Web sites work properly, I had to dig through menus to change options.

Using the BlackBerry desktop software, I was easily able to synchronize my calendar and contact data over a cable from a Windows PC. (There’s also Mac software for the same task.) But, unlike the iPhone or the G1, the Storm doesn’t offer wireless synchronization from consumer services, only from corporate servers.

The Storm’s multimedia software isn’t as fancy as the iPhone’s, but it’s better than the G1′s, and worked very well in my tests.

Overall, the Storm is a very capable handheld computer that will appeal to BlackBerry users who have been pining for a touch-controlled device with a larger screen. And it offers yet another good option for anyone who is looking to buy one of the new, more powerful, pocket computers.

Find all of Walt Mossberg’s columns and videos online, free, at the All Things Digital Web site, walt.allthingsd.com. Email him at mossberg@wsj.com.

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