So once developers' iPhone apps are up and running, what do they do? Well according to Apple CEO Steve Jobs, the deal is simple and of course it's great!

- Developers upload their applications onto the App Store that will be accessible by all iPhone users, just like the Wi-Fi iTunes but specifically for iPhone apps;
- Apple takes care of hosting/billing/distributing the apps to iPhone users;
- The developer receives 70% of the app's sale every month;
- Auto updates for the apps that users have downloaded on their iPhone;
- No charge for free applications.

I think the App Store is particularly great for the smallest ISVs that don't have the marketing dollars to go out there and market, distribute, host and finally sell their piece of software. And after all, 30% is not such a bad deal.

So what's the catch?

- Apple has the final say in choosing what iPhone apps get on the App Store. No porn, malicious app or ones that invade personal privacy for example;
- There will be no other way to distribute iPhone apps. For example, users won't be able to download the app on their computers and hardwire it into the iPhone.

And here's what Steve Jobs had to say about his plan to catch the bad iPhone applications

"We try to strike a really good path here. On one side you've got a closed device like the iPod which always works... and on the other side, you've got a Windows PC where people spent a lot of time everyday getting to where it's usable. And we want to take the best of both: the reliability and the dependability of the iPod and the ability to run 3rd party apps from the PC world, without the malicious applications.

Apple will rely on the community to catch bad apps

"The way we're going to do that is that the developers have to register with us. For that $99 that they paid to join the programme, they actually get an electronic certificate and that tells us who they are. So if they write a malicious app we can track them down, we can tell their parents... The other thing that we can do, since the distribution of their application is going to be through the App Store, if we are alerted of a malicious app that we didn't catch, we'll turn off the spigot so no more people can download"

And for Enterprise customers?
Apple will have a "model" that will enable enterprises distribute their internally developed applications to their end-users without going through the Store App. My guess is that there'll be a mechanism for IT admins to send the apps directly to their end-users, by email or through a secure web site for example.