The newest version of the Telegraph iPhone app allows users to contribute breaking stories or average everyday happenings to telegraph.co.uk.

Every day for seven days (December 4th - 10th), a story uploaded via the app will be selected to run on telegraph.co.uk. The author of the selected story will receive £100 worth of iTunes vouchers.

"All you have to do is send us words or images (or both) of something you think is newsworthy - maybe you've spotted a celebrity, seen someone do something heroic or had prime seats at an event," the Telegraph website reads. "By clicking on the 'Report' button, users can upload a photo and give a brief eyewitness account of breaking news."

This is a rather innovative use of newspaper apps and digital devices, which are usually just a way to read the news. The contest is just to promote the new citizen reporting feature, which is a permanent part of the app. It is likely to become a standard of newspapers' mobile apps and devices of the like, since it's a really cool feature and a good idea.

"This new, improved app provides a really rich, multimedia news experience," said Maani Safa, head of mobile at Telegraph Media Group. "We've made the software as easy to use as possible, and there are lots of features that readers will love."

New features include:

Read anywhere - all articles are saved automatically for reading offline.

Weather - see the weather for the days ahead for your area automatically updated via GPS.

Photo galleries - see the latest Telegraph.co.uk photo galleries in normal or full screen slideshow view.

Twitter - see Telegraph hot topics on Twitter, alongside the latest trending keywords.

Report - become a citizen journalist. See a breaking story? Take photos, write a story and send to the Telegraph news desk.

News and videos - you can read the best news and comment, powered by the award-winning Telegraph.co.uk, and watch the latest video from Telegraph TV while you're on the move.

This is really an all-in-one application, demonstrating a great commitment to digital distribution and innovation. The best (and most puzzling) part is that the app is free. How the Telegraph plans to make money off the app is a matter of speculation, as no advertising or subscription fees are mentioned.

Sources: journalism.co.uk, telegraph.co.uk