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"The Sleep Cycle alarm clock is a bio-alarm clock that analyzes your sleep patterns and wakes you when you are in the lightest sleep phase. Waking up in the lightest sleep phase feels like waking without an alarm clock - it is a natural way to wake up where you feel rested and relaxed. Since you move differently in bed during the different phases, Sleep Cycle uses the accelerometer in your iPhone to monitor your movement to determine which sleep phase you are in. "

Now here is an innovative application for an iPhone accelerometer.