Apple unveils new iPhone 5

After months of speculation, Apple has unveiled its next generation iPhone Wednesday in San Francisco.

The iPhone 5 sports a larger 4-inch screen and is touted by the company as the thinnest, fastest iPhone ever.

The new phone will be capable of using the faster 4G cellular networks known as LTE. Sprint, Verizon and AT&T will support it in the U.S. Apple says the iPhone 5 will have faster Wi-Fi, along with a faster processing chip.

The iPhone 5 boasts a new 8 MP camera it calls “iSight”, with special features to eliminate noise in images and perform better in low light. There’s also a feature that lets you stitch multiple images of a landscape for a panoramic view. It has a new front facing HD camera with 720p support, backside illuminated sensor, and FaceTime works over 3G with iOS 6.

The iPhone is getting a new connector to attach to computers and chargers. It had been using the same one from the iPod for nearly a decade. While the new iPhone won’t be compatible with old accessories, the company says says accessory makers are already working to update their products. Apple will sell an adapter to work with older accessories.

The company claims the new phone has dramatically improved battery life, with 8 hours of talk time and LTE browsing.

Prices for the iPhone 5 are $199 for 16GB,$299 for 32GB and $399 for 64GB.

Pre-orders begin September 14th, with the phone going on sale September 21st.

Apple also announced new version of its iOS operating system and iTunes, along with its Siri voice recognition software.

Regardless of the features, the phone is expected to be a huge seller for Apple, with a significant impact on the economy.

Apple fans who buy the new iPhone may help the U.S. economy grow by a third of a percentage point, possibly more, in the final quarter of the year. That fraction of a point is worth $3.2 billion, according to an estimate from JP Morgan, the News Chick reported earlier this week.

The Associated Press contributed to this report