Apple has unveiled what it calls a “major update” to the operating system that drives the iPhone and iPod Touch. Some of the 100 new features included in the update replicate those already offered by other smartphones. The new functions include cut, copy and paste, long demanded by iPhone users, picture messaging and an in-phone search feature, but not Flash video. “The upgrade is a big big deal and will help persuade consumers to stay with Apple,” said Gartner analyst Van Baker.

Apple’s Scott Forstall demonstrates the iPhone’s cut and paste feature “While things like copy and paste and multi-media messaging (MMS) are things they have needed to do for a while, other features will in essence stop consumers buying other smartphones and raise the amount of money people spend on the iPhone, ” he said.

Analyst Gene Munster from Piper Jaffray agreed that the upgrade was a major step forward. “We believe Apple addressed key issues that were leading some consumers to competing devices for multimedia messaging and enterprise e-mail.” Some of the other main features Apple highlighted for consumers included a voice memo and stereo Bluetooth.

A new search tool called Spotlight will allow users to search files and applications on the iPhone or iPod Touch.