As promised, the iPhone Dev Team has released the (0.9.5 beta) yellowsn0w iPhone 3G unlock application. The utility works exclusively with baseband 02.28.00, which is provided by the latest iPhone OS version (2.2) from Apple.

According to a Dev Team blog post, users will need to upgrade to the latest version of iPhone software using iTunes. With the new software installed, iPhone owners must then use QuickPwn to activate.

The team also offers suggestions on established tutorial sites. “Because it works on 02.28.00, it is available to everyone on the planet,” the team confirms. “This means we don’t need to unnecessarily expose holes in earlier basebands, which is an important concern,” the post reads.

The hackers go on to explain to iPhone users interested in unlocking their handsets that “The application is a small daemon that is launched on boot. It injects the payload at boot and also whenever there is a baseband reset. You won’t notice anything about it other than that your third-party SIM now works.”

However, there is a known issue with SIM cards that have STK (SIM Toolkit) application menus, according to the brilliant developers. Allegedly, the problem is easily fixed by sliding the SIM card in and out, in an interval of about a minute (60 seconds). For those using SIM cards without STK menus, the application has some optional arguments that will make the unlock much faster, the team says.

Additionally, there is no PIN support yet. The Dev Team is heavy at work on a solution for SIMs with PINs enabled. To work around the issue, users can easily disable the PIN request using another phone and then try yellowsn0w. Lastly, the developers ask users to note that the unlock will silently quit on anything other than baseband 02.28.00 (iPhone software 2.2). Should this be the case, the application will detect it as the wrong version and will just quit, to avoid any possible damage.

Softpedia doesn't condone jailbreaking / unlocking the iPhone / iPod touch or any other device. Using hacks may render your device unusable, or may considerably reduce the quality of your experience using the respective device. If you choose to download and install the PwnageTool, you do it at your own risk.
Unlocking / jailbreaking your iPhone may violate your warranty or the EULA with Apple and/or your cellular service provider.