Only two of these ultimate luxury items will ever be made.

Lay your eyes on the world's most expensive phone -- an Apple iPhone 4, which is enclosed in 500 flawless cut diamonds, equivalent to 100 carats.

It has two interchangeable diamonds for the 'home' button, together worth more than 4 million pounds.

The high-on-diamonds gadget was reportedly made to order by a wealthy Australian and has been crafted by a Liverpool designer named Stuart Hughes.

"I doubt it will get used because it is worth so much money," the Sun quoted Stuart, a phone jeweller since 2003, as saying.

Photograph: Stuarthughes.com