Apple today released iOS 4.0.1 software update for iPhone, which improves the formula to determine how many bars of signal strength to display.

This is Apple's reaction to the numerous reports indicating that Apple's latest version of the popular iPhome smartphone had a faulty antenna, showing a sudden plunge in signal strength when they hold it in a specific way.

Earlier this month, Apple had confirmed the issue and had said that the problem was the software that determines how many signal bars to display.

Apple will to hold a press event today and it is expected to talk about the iPhone 4, as the company continues to deal with fallout from reported reception problems.

The event will be held 10 a.m. on Friday at its headquarters in Cupertino, California.

Products compatible with this latest software update (iOS 4.0.1) are the iPhone 3G, the iPhone 3GS and the latest iPhone 4