The new iPhone 5 display has a new aspect ratio and a new resolution (640 x 1136 pixels).
What is required to develop new or transition already existing applications
If you have an app built for iPhone 4S or earlier, it'll run letterboxed on iPhone 5.
To adapt your app to the new taller screen, the first thing you do is to change the launch image to: Default-568h@2x.png. Its size should be 1136x640 (HxW). Yep, having the default image in the new screen size is the key to let your app take the whole of new iPhone 5's screen.
(Note that the naming convention works only for the default image. Naming another image "Image-568h@2x.png" will not cause it to be loaded in place of "Image@2x.png". If you need to load different images for different screen sizes, you'll have to do it programmatically.)
If you're very very lucky, that might be it... but in all likelihood, you'll have to take a few more steps.
In the extreme case (when none of the above suffices), design the two Xibs and load the appropriate one in the view controller.
To detect screen size:
if(UI_USER_INTERFACE_IDIOM() == UIUserInterfaceIdiomPhone)
{
CGSize result = [[UIScreen mainScreen] bounds].size;
if(result.height == 480)
{
// iPhone Classic
}
if(result.height == 568)
{
// iPhone 5
}
}