[Smile to be first advertiser to appear on a European 3G handset following a deal with Manx Telecom.]

"The internet bank, Smile, is to be the first European advertiser to promote its goods on a third-generation handset after tying up a deal with Manx Telecom.

"Manx, which is owned by the BT spin-off, MM02, has begun testing its 3G phone services on the Isle of Man, where 200 residents are using the new technology.

"3G technology allows users to view pictures, send emails and even watch videos on their mobile phones.

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