Research in Motion (NASDAQ: RIMM - News) , the Canadian manufacturer of the BlackBerry family of smartphones, is hoping that its first touch-screen handset, launched on Wednesday morning, will live up to its name: The BlackBerry Storm.

Certainly, based on my initial observations, the Storm represents the most impressive response to date to the challenge posed by Apple's 3G iPhone and should help RIM consolidate its dominant position in the corporate smartphone market while extending its push into the market for consumer smartphones.

The Storm, which RIM has been working on for more than a year, is in my view the first touch-based smartphone with a really usable virtual keyboard - a keyboard that actually feels pretty much like the traditional thumb-operated physical mini-Qwerty keyboard found on most BlackBerry devices.

When you press a key on the Storm's on-screen keyboard you get a distinct 'click' confirmation. Once I had got used to the technology, I found it almost indistiguishable from typing on my much-loved BlackBerry Curve.

This makes an enormous difference for heavy wireless e-mail users like me who have found the virtual keyboards on many rival devices including the iPhone, somewhat lacking.

While the unique keyboard technology built into the Storm is perhaps the most exciting innovation, this 3G device is packed with high-end features. For example, it comes with a built-in 3.2Mp (megapixel) digital camera capable of capturing both still and video images, full multimedia playback capabilities including iTunes compatibility and the ability to view, open and edit a wide range of business documents.

Other features include a full web-browser, GPS (Global Positioning System) capabilities and the ability to 'multitask' for example, take a call while sending an e-mail or browsing the web.

Like the iPhone, the Storm's screen automatically flips from 'portrait' to 'landscape' mode to make typing, browsing and video viewing easier. Equally importantly from a business users' perspective, the Storm features a removable rechargeable battery designed to power the device for up to 15 days in standby mode and deliver up to 5.5 hours of talktime - impressive for a 3G device.

The most significant omission in my view is the lack of WiFi connectivity (something that most of the latest batch of smartphones support.) In the US, Verizon Wireless claims that its 3G EVDO Rev A network guarantees a good mobile internet experience, but I would like the option of switching to a WiFi network where available - for example at home or in the office.

US versions of the Storm will be a true 'world phone' that will work on both the Verizon EVDO network in the US and on the 3G HSDPA (high speed data packet access) networks operated by Vodafone and other carriers around the world. (The Vodafone Storm will be HSDPA only).

In terms of design, the Storm is elegant although not quite as minimalist as the iPhone and is slightly thicker and heavier. But is it sleeker than rivals like T-Mobile's G1 handset and the Sony Ericsson Xperia X1, both of which feature slide-out keyboards.

Aside from its 3.26-inch touch screen, which also supports multi-touch and gestures like the iPhone, there are four standard buttons on the front bottom face of the device for basic functions and a standard 3.5mm stereo headset socket on the right side.

Nevertheless, the iPhone's user interface is still cleaner than the Storm's and the Safari-based browser is at least as good although the Storm's text entry, messaging capabilities and corporate e-mail features win hands down. RIM also needs to work hard to make third-party BlackBerry applications as accessible as those offered in Apple's App Store or Google's Android Market.

All in all, the Storm probably addresses a larger market than the iPhone or consumer and youth centric devices like Nokia's 5800 music phone launched last week. It also, in my view, outshines the BlackBerry Bold which has yet to become available in the US.

That said, the combination of Bold, Storm and BlackBerry Flip Pearl, which is also due to go on sale shortly, should ensure that RIM addresses all market segments in the crucial upcoming holiday season.