The Bloomberg report says: "The iPhone will fuel interest in wireless data services such as Web surfing and music downloads, helping Telstra generate sales from its latest "Next G'' network".

"Despite the fact that it is yet to make an announcement on whether it will sell the iPhone at all, we expect Telstra to be the primary beneficiary,'' according to analysts.

"Telstra is best positioned to take advantage of the general increase in data usage that should flow from the publicity that the iPhone generates,'' Myers and Kaynes wrote in the report.

And to add fuel to the persistent rumours on whether Telstra will sell the iPhone or not, a Telstra spokesman told channelnews last night that "Telstra is the market leader in mobiles and we aim to stay that way, so while not commenting on iPhone or our plans specifically, watch this space!"

Yes folks, definitely watch this space.