The final version of the iPhone 2.0 firmware was unlocked and jailbroken the day before its official release. The group of computer programmers responsible call themselves the iPhone Dev Team. They announced that they had modified the new software to allow iPhones to work on any wireless network.
Two Versions of 2.0 Firmware
The iPhone 2.0 firmware was released in two forms. The earlier beta version was released in March, 2008 for independent developers to design iPhone applications.Official Press Release: Apple Announces iPhone 2.0 Software Beta (March 6, 2008) The final version was released on July 11, 2008 along with the iPhone 3G. The iPhone Dev Team has unlocked and jailbroken both.
Unlock vs. Jailbreak
Unlocking and jailbreaking an iPhone are two different processes. Unlocking allows the iPhone to be used on any wireless network, not just AT&T. Jailbreaking allows users to customize their iPhone by loading their own software and applications. Both processes will void Apple's warranty on the iPhone.
Limited Unlocking
The iPhone Dev Team released its software to jailbreak and unlock iPhones running the 2.0 firmware. The current tool jailbreaks any iPhone, but will only unlock original iPhones upgraded with the 2.0 firmware. They have released pictures and video of an unlocked iPhone 3G, and are still working on a stable release for public use.Gizmodo: First iPhone 2.0 Pwnage Tool Will Not Unlock iPhone 3G, says Dev Team (July 17, 2008)
PwnageTool Lineup
The first version of the iPhone Dev Team's unlocking/jailbreaking software, the PwnageTool, was released on July 19. The Dev Team released the updated version, PwnageTool 2.0.1 the next day to fix interface errors. Any iPhones properly hacked using the previous version do not need to use the updated version.Official iPhone Dev Team Blog: PwnageTool 2.0.1 (July 20, 2008)