Apple on Monday unveiled a new, faster iPhone and cut the price on its existing model to $99.

Apple CEO Steve Jobs did not appear at the company's World Wide Developers Conference in San Francisco, instead, Philip Schiller, the company's senior vice president of worldwide product marketing, demonstrated the new iPhone 3G S.

The new phones perform tasks up to 3.6 times faster than the previous second-generation iPhone, the iPhone 3G.

Apple shares, which were down as much as $5.24 earlier, were $2.07 lower at $142.60 after the presentation. They ended the day down 82 cents, at $143.85.

The iPhone will come in three sizes and prices. The new phone will have a 16-gigabyte model for $199 and a 32-gigibyte version for $299. Apple will continue to sell a second-generation iPhone 3G with 8 gigabytes of memory for $99 -- the cheapest price yet for the device.

Apple's in a different environment now than when they launched the iPhone, because there are multiple dealers with better offerings, said Edward Zabitzky, Apple analyst with ACI Research.

Apple really didn't change the platform very much, but the net result is that they made themselves more competitive.