NEW YORK (AP) -- The launch of Apple Inc. 's much-anticipated new iPhone turned into an information-technology meltdown on Friday, as customers were unable to get their phones working.

"It's such grief and aggravation," said Frederick Smalls , an insurance broker in Whitman, Mass., after spending two hours on the phone with Apple and AT&T Inc. , trying to get his new iPhone to work.

In stores, peo...