iPhone 4 sales hit 1.7 million

Sales of the iPhone stand at 1.7 million units after just three days, despite continued complaints about hardware problems and loss of signal.

The new smartphone was launched on Wednesday June 24 and comes pre-installed with the new iOS 4 operating system. New hardware features include a new high resolution display, 40 per cent longer talk time and a redesigned, thinner casing.

Importantly for videogame companies the use of iOS 4 will bring with it games network Game Centre later in the year. The online service has been likened to Xbox Live and will include advanced matchmaking, leaderboard and achievement features.

The ongoing hardware problems have dominated the devices' launch though, with CEO Steve Jobs commenting: "This is the most successful product launch in Apple’s history. Even so, we apologise to those customers who were turned away because we did not have enough supply."

The main complaint of the new device is that if the bottom-left hand corner of the phone is held while making a call reception can be impaired or even lost. Apple's advice on the issue has been to use a cover for the phone or simply to hold it differently.

There have also been reports of screen discoloration with the new hardware iteration, thought to be a result of the bonding agent on the glass display not fully evaporating.