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Apple has described the new iPhone 5S as the "most forward-thinking smartphone in the world".
It is an upgrade to the popular iPhone 5 and features an improved camera and extended battery life as well as novel features like a fingerprint reader.
The introduction of the iPhone 5C marks Apple's first departure from high-end devices.
Chief executive Tim Cook promised the 5C would come with "all the great technology that customers have loved" on its previous models but at around half the price.
Gad Harari took his place at the front of the queue yesterday with 17-year-old friend, Noah Green.
The first iPhone fan to queue outside the firm's store in Regent Street for the latest model says he will consider selling his spot for £1,000.
17-year-old Gad Harari is getting ready to spend his second night in a tent on the pavement as part of a four-day wait for the new 5S. The student has already refused an offer of £200 for his place in the queue, adding: "People will offer at least £500 or £600".