Apple has put an end to weeks of speculation by unveiling its tablet PC, which it has called the iPad.
Apple giving away 25 free MacBook Laptops.
Steve Jobs, Apple's chief executive unveiled the touchscreen device at an event in San Francisco.
Mr Jobs described the tablet, which will cost between $499 and $829 in the US, as a "third category" between smartphones and laptops.
The device, which looks like a large iPhone, can be used to watch films, play games and browse the web.
The firm has also done a deal with publishers including Penguin, Macmillian and Harper Collins to allow e-books to be downloaded directly to the device through a new iBook Store.
"You can download right onto your iPad," said Mr Jobs.
He also showed off magazines and newspapers on the device.
Watch the iPad announcement Live here
'Cheap laptops'
He told an audience of journalists, analysts and industry peers that the device lets people "hold the whole web in your hands".
"What this device does is extraordinary. It is the best browsing experience you have ever had," he said.
The device has a 9.7-inch multi-touch display, allowing people to type directly on to the screen, as well as manipulate pictures and move control the action in games with their fingers.
Apple claim it has a battery life of 10 hours.
It also has the firm's iTunes software built in, allowing people to purchase songs and movies straight to the device.
It also allows users to download apps, in a similar way to the iPhone. People with both can synchronise their apps between the two devices.
"We think it's going to be a whole other gold rush for developers," said Scott Forstall, who runs Apple's app division.
Apple revealed that more than 3bn apps have been downloaded from its App store.
Some industry experts have questioned the need for another category of device, alongside laptops, smartphones and netbooks.
But Mr Jobs dismissed netbooks as "just cheap laptops".
"Netbooks aren't better at anything - they're slow and have low quality displays," he told the audience.
"They're not a third category device, but we have something that we think is."
The cheapest model, which will come with 16GB of flash memory and wi-fi will cost $499. The most expensive version, with 64GB of storage and the ability to connect via a mobile 3G signal, will cost $829.
Users will also have to pay a monthly subscription for the models with 3G connectivity.
Mr Jobs said that he hoped to have international prices in place in June or July.
However, all the 3G models are unlocked, meaning they will work with any carrier.
The launch puts to rest months of speculation and rumour in the blogosphere.
Apple - famous for its secrecy - had remained silent in the run up to the launch, unwilling to release any details publicly.
Source: BBC.co.uk
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