The iPhone is continuing its glorious path as it became the top-selling mobile phone, ousting Motorola RAZR from the No. 1 spot. And this is not all. The Apple-manufactured handset is reportedly the most reliable smartphone out there. The mobile phone warranty firm SquareTrade said in its latest report that the iPhone is more reliable than RIM’s Brackberrys and the Palm Treos.

SquareTrade conducted tests on 15,000 phones and found out that, in the first year, the Blackberrys have a failure rate double that of the iPhone. The iPhone had a 5.6 percent failure rate, while the Blackberrys had 11.9 and the Palm Treos had 16.2.

As for sales, according to The NPD Group, the iPhone was the top-selling smartphone in the past quarter. Motorola's RAZR v3 fell on the second place, followed by RIM’s Blackberry Curve, while LG Rumor and the LG enV2 followed.

Since the July launch, Apple sold more than 7 million iPhone 3Gs and the number is even more impressive considering the fact that it came during a sluggish period for smart phone sales. The sales of smart phone dropped 15 per cent over that period, NPD wrote in its report.

There’s much to talk about. Pluses and minuses for the iPhone, RAZR and BlackBerry, but the most important thing that mattered when it came to sales was the coolness the iPhone had.

However, despite the very strong sales and all the coolness the iPhone brought in the smartphone industry, Apple decided to cut iPhone production for the first quarter of fiscal year 2009 due to the slowing consumer demand.