For nearly two decades, the iPhone has transformed from a secret project inside Apple into one of the most influential consumer products in history. More than 3 billion iPhones have been sold worldwide, with over 2.5 billion still active, according to the source material. But the story of the iPhone begins with a surprising twist: Apple did not originally own the iPhone name.
As Apple prepares for another major launch event, the story behind the device is worth revisiting—from secret laboratories and touchscreen experiments to 5G, satellite connectivity and artificial intelligence.
The iPhone Name Once Belonged to Cisco
The name “iPhone” was originally trademarked by Cisco, an American networking company. When Apple introduced its first iPhone, Cisco sued the company over the name. The dispute was eventually settled, with both companies agreeing to use the iPhone name. Cisco had already used the name for a phone based on Wi-Fi and VoIP technology.
The iPhone story has another extraordinary chapter: one of the world’s most expensive custom iPhones reportedly sold for around $15 million, or approximately ₹142 crore. British designer Stuart Hughes customised the device using 135 grams of 24-carat gold and 600 white diamonds. Even the home button was replaced with a 24-carat black diamond.
But the real value of the iPhone story lies not in its price tag, but in how it changed the way the world uses phones.
It All Began Behind Closed Doors
In 2004–05, something unusual was happening inside Apple. Some of the company’s most talented engineers began disappearing from their regular projects. Even their colleagues were unsure what they were working on.
The reason was a highly secretive Apple project known internally as “Purple.” Apple had created a separate facility in Cupertino and moved a select group of engineers into the secret laboratory. The doors remained closed, there were no conventional working hours, and engineers reportedly spent days and nights working on the project—sometimes even eating and sleeping there.
For around two and a half years, the project remained a secret. Then came January 9, 2007 At San Francisco’s Moscone Center, Steve Jobs walked onto the stage carrying a device that would change the mobile industry forever. The mystery was finally solved. The engineers had been working on the iPhone.
When a Phone Stopped Being Just a Phone
At the time, Nokia and BlackBerry dominated the smartphone market. Phones were largely controlled through physical buttons and keyboards. Apple took a radically different approach.
Why have a keyboard when the screen itself could become the keyboard? The first iPhone featured a 3.5-inch touchscreen, a 2-megapixel camera, Wi-Fi, Bluetooth and internet connectivity. Users could tap, swipe and pinch directly on the screen. Today these gestures feel completely ordinary. In 2007, they were revolutionary.
Apple also changed the mobile internet experience. Before the iPhone, mobile browsing often relied on WAP, where websites appeared in simplified and poorly formatted versions. Apple’s Safari browser brought a much more computer-like web experience to a mobile device.
The first iPhone went on sale in June 2007 and sold 1 million units in just 74 days.
The App Store Changed Everything
The original iPhone had one major limitation: there was no App Store. That changed in 2008 with the iPhone 3G, which introduced 3G connectivity, GPS and the App Store, initially offering more than 800 applications. The response was extraordinary. While the original iPhone took 74 days to reach one million sales, the iPhone 3G crossed that mark in just three days.
The iPhone was no longer simply a handset. It had become a platform. Then came the iPhone 4 in 2010, introducing the Retina display, a 5-megapixel camera, HD video recording and FaceTime. More than 1.7 million units were sold in its first three days.
From Steve Jobs to Tim Cook
In 2011, Steve Jobs stepped down as Apple’s CEO and died soon afterwards. Tim Cook took charge. Jobs had focused heavily on creating products that could redefine categories. Cook’s challenge was different: how could Apple take the iPhone to hundreds of millions of people around the world?
Apple strengthened its supply chain and production capabilities. In 2014, the company launched the larger-screen iPhone 6 and iPhone 6 Plus, along with Apple Pay. More than 10 million units were sold in the first three days. The following year, the iPhone 6s introduced features such as 3D Touch and Live Photos, selling more than 13 million units in its first three days.
The Home Button Disappears
Then came 2017 and the iPhone X. For the first time, Apple removed one of the iPhone’s most familiar features—the Home button. A 5.8-inch OLED display took its place, while Face ID introduced a new way of unlocking the phone. Apple’s TrueDepth camera system created a 3D map of the user’s face.
The camera soon became another major battlefield. With the iPhone 11 in 2019, Apple introduced Night mode and an ultra-wide camera. The phone’s processor and software increasingly worked together to improve photographs.
The philosophy had evolved. In 2007, the iPhone was essentially turning a phone into a computer. By 2019, the computer inside the phone had become powerful enough to transform the camera itself.
Enter 5G, Satellites and AI
In 2020, the iPhone 12 brought 5G connectivity to Apple’s smartphone lineup. It also featured the A14 Bionic chip and a 16-core Neural Engine designed to handle AI and machine-learning tasks.
Then came a series of major changes.
2022: The iPhone 14 introduced Emergency SOS via satellite, allowing users to contact emergency services through satellite connectivity when mobile networks and Wi-Fi were unavailable.
2023: The iPhone 15 replaced Apple’s Lightning port with USB-C. The iPhone 15 Pro also introduced a titanium body and the A17 Pro chip.
2024: The iPhone 16 brought Apple Intelligence, along with the A18 chip and Camera Control.
2025: Apple introduced the iPhone Air with a reported thickness of just 5.6 mm, along with a larger display and A19 Pro chip.
From a touchscreen phone in 2007 to an increasingly AI-powered device, the iPhone has continually expanded what a smartphone can do.
Now, the iPhone Enters the John Ternus Era
The next chapter of the iPhone story will unfold under John Ternus. A mechanical engineer educated at the University of Pennsylvania, Ternus joined Apple in 2001. Before Apple, he spent four years at Virtual Research Systems. He began working on Mac display design and eventually rose to become one of Apple’s most senior hardware executives.
According to the source material, his leadership has been associated with work across the Mac, iPhone, AirPods and other hardware products, including stronger materials and more repairable designs. He has also witnessed both the Steve Jobs and Tim Cook eras.
Now, the question is: What will the iPhone look like in the Ternus era?
Four Big Challenges Ahead
Ternus faces several major challenges. First is AI. Apple faces intense competition from companies such as Google and Microsoft, and strengthening its AI capabilities will be crucial.
Second is regulatory pressure, particularly questions surrounding Apple’s business model and alleged antitrust violations in the US and Europe.
Third is manufacturing diversification. Amid US-China tensions, Apple faces the challenge of shifting more manufacturing to countries such as India and Vietnam while maintaining efficiency and quality.
And finally, there is the biggest question of all: innovation.
Critics argue that Apple no longer surprises the world the way it once did. The iPhone began as a secret project called Purple, emerged onto a San Francisco stage in 2007 and went on to sell billions of devices. Now, nearly two decades later, the next challenge is not simply to make another iPhone. It is to make the world ask the same question it did in 2007:
“How did we ever live without this?”