HTC's Touch Diamond touted as iPhone2 rival

Taiwan's HTC has introduced a cellphone that is designed to make Web browsing as easy as making calls. The handset, Touch Diamond, is now seen as a rival to Apple Inc.'s upcoming iPhone2.

With a 2.8-inch display, the Touch Diamond can receive animated access to text messaging, e-mail, photos, music, weather and more, the company said.

The handset can also zoom-in and pan Websites with one hand and automatically view optimized content specially created to fit the display. Touch Diamond also includes a YouTube application and Google Maps.

Many experts see the device as direct competition to the upcoming iPhone2, although according to an Agence France-Presse report, an unnamed HTC official would not compare the two, saying merely that Touch Diamond was "already good enough."

The company claimed that it had taken a major leap forward in touch screen innovation with the introduction of a new 3D touch interface, called "Touch FLO 3D."

The Touch Diamond is scheduled to hit the market in June, the company said, without specifying the price.