Just FYI – 2.2.1 is jailbroken but upgrading will totally bork your unlock.

UPDATE – The guys are saying don’t use this jailbreak. It’s not an official dev team release and, as we mentioned, it borks your unlock. A real jailbreak is forthcoming.

UPDATE #2 – The real deal iPhone dev team QuickPwn (Windows/Mac) and PwnageTool (Mac only) apps are now available. They have yet to SIM unlock the new baseband (02.30.03), so tread with caution and read directions especially close if you’re planning on liberating your handset.

The unlock works on the iPhone, the iPhone 3G, and the 1st gen Touch.

iPhone 3G users, do not update to firmware 2.2.1 if you want to keep your unlock because firmware 2.2.1 will update your baseband permanently. You will need to download custom firmware with an earlier baseband in order to use QuickPWN.