Hackers unlock iPhone 3G, free it from shackles of AT&T

It's a new year and a new day for iPhone hackers — the iPhone G has finally been unlocked. As of a couple of hours ago, the unlocking app called Yellowsn0w, created by a group of hackers calling themselves the iPhone Dev Team, is now available as a free download.

This is great news for iPhone owners who don't want to be chained to AT&T — now they're free to use the iPhone with the carrier of their choice. For example, what if you want an iPhone, but there's no AT&T coverage in your area? T-Mobile is a favorite of the expatriates, with a lower data cost per month, but then they don't get Apple's gorgeous Visual Voice Mail.

Unlocking is different from "jailbreaking," which has been possible with the iPhone 3G for a few months now. That gives you the ability to load software applications not approved by Apple, such as an app that lets you use the iPhone's 3G connectivity as a modem for your PC, hundreds of games, extensive customization of backgrounds and sounds, new ways to organize all those apps, and a whole lot more. The risk of turning your iPhone into a useless "brick?" Slight.

Dev-Team Blog