New iPhone launch cloaked in secrecy

Hotly anticipated device expected to provide 0.25 to 0.5 per cent boost to US economy

Apple's new iPhone could provide a material boost to the US economy but its expected launch event tonight remains shrouded in mystery.

The vendor is set to unveil the hotly anticipated device at San Francisco's Yerba Buena Center for the Arts at about 6pm tonight, UK time. It is the first iPhone launch since Apple founder Steve Jobs passed away last October.

Apple is expected to ship 8 million of the devices in the US in the fourth quarter alone, which will translate into a 0.25 to 0.5 per cent boost for US GDP during the quarter, according to JP Morgan chief economist Michael Feroli.

Rumours suggest that the handset will feature a larger, 4in screen, faster processor and smaller dock connector.

Market chatter also indicates it will support 4G networks, a significant development in light of Everything Everywhere's UK 4G launch this week.

Global iPhone sales fell from 35.1 million to 26 million in Apple's most recent quarter as the vendor comes under increasing pressure from Android-based rivals including Samsung, Nokia and HTC.

Invites to the event feature a big number 12 that casts the shadow of a number five. The 12 refers to today's date, while the five most likely refers to the branding of the phone or – perhaps – the number of new products Apple will unveil.

Robert Peckham, chief executive of industry body MacTechnology, believes there may be more than meets the eye to tonight's event.

"Apple has not launched anything significant on any form factor since Steve Jobs died. It has to get refreshes out on all of its main consumer lines and I think more may happen today than people think," he said.