In just a little under a month after iPhone OS 3.1 was released, Apple has just released an update for the iPhone OS, upgrading it to 3.1.2. This update fixes the widely reported issue where the iPhone would not wake from sleep, and also fixes an issue involving video playback and cellular service. This update is available for the original iPhone, iPhone 3G and iPhone 3GS, and the iPod touch.

Update: There's also an carrier settings update (which does not seem to do anything) and an update to the iPhone SDK on the iPhone Dev Center.

Thanks to everyone who sent this in!

The Apple Support forums are a'buzz with reports of several users upgrading to iPhone OS 3.1 and discovering a new "feature" which was not available previously. As mentioned in our comments, after upgrading to 3.1, some original iPhone and iPhone 3G owners with Exchange accounts are having trouble accessing their email. Apparently the server-side encryption policy option for mobile devices (only available as of Exchange 2007 SP1) is now being appropriately enforced.

This is not affecting owners of the iPhone 3GS, due to the newer device's support for Exchange encryption. Prior to iPhone OS 3.1 the encryption policy was ignored for all models. Now that 3.1 is available, users are seeing this policy being correctly enforced and older iPhones without encryption support are left without access to Exchange services.

I have yet to find any reports of issues with the iPod touch, but I suspect that it will also be affected by this software change. We're awaiting confirmation from Apple on whether this will impact the newly announced iPod touch models as well.

While many are reacting to this issue as though it's a bug, and are reporting it as such, the reality is that the Exchange encryption requirement is a feature and the fact that it was not being correctly enforced was actually a security hole. IT administrators with Exchange 2007 SP1 servers and iPhone clients are probably going to be fielding an above-average level of incoming questions, but at least they can rest easy knowing that Exchange encryption is now working correctly. Cold comfort for their users, though.

If you are running into this issue, the straightforward (though pricey) solution is to upgrade to the iPhone 3GS; or consider bribing your IT guy with Red Bull so he will disable the encryption requirement for mobile devices. But we want to hear from you; are you using an Exchange account? Can you still access it following the upgrade to 3.1? Which device are you using, iPhone or iPod touch; 3G or 3GS? Is this a little thing that means a lot to you from a security perspective or have you been left high and dry without access to critical email?

Update: MacRumors points out that Apple has now covered this situation in a new KB article.

[Via Broadband Reports]

So here's something interesting, if you're curious to know what features might be in iPhone OS 3.1. It seems YouTube is chock full of videos shot in what seems to be defiance of Apple's NDA for 3.1 features. A couple of gems hint at expanded copy/paste functions, and there's one video which we could swear might hint at a real-time zoom... perhaps not just for photos but for framing video?

Anyway, it's a bit of a mining expedition, as searching for specific [REDACTED] methods or properties yields best results, so don't get all hot and bothered thinking you'll peep an iPad by searching for "setAppleTabletSize" or something. In fact, all of these could be fake, although the sheer number of videos seems to suggest something other than a grand deception.

It was only a couple of weeks ago that straphanger hopes for an augmented reality guide to the NYC subways were flying high... and now it looks like they may have to wait for Labor Day before they can amaze their friends and stun their enemies. The LA Times is reporting a conversation with Acrossair developers where they indicate that the full-screen video features of the app can't ship before Apple releases iPhone OS 3.1 -- which they expect to drop in early September, in case you're marking your calendar.

According to the story, the live video/augmented reality approach depends on an unpublished camera API, hence the apps cannot be set free in the wild just yet. That may explain why several other inside-the-Matrix apps haven't cleared the store... and why September may see a bit of a surge in admissions to hospital emergency rooms for people with bruised foreheads and sheepish expressions.

Update 7/25: While the LA Times story is (so far) not yet updated, we have gotten feedback from a developer who insists that the 3.1 update will not provide additional hooks for AR apps; specifically, that the live camera view APIs are going to remain private and will not be exposed for third-party development. This source suggests that Acrossair is confused about Apple's position, and that the approval schedule aligning with 3.1 is a coincidence and not a technical restraint. We will try to reach Acrossair to confirm.

[via MacRumors]

Torqued over the lack of tethering support from AT&T? Taken matters into your own hands? TUAW has learned that, with the release of iPhone OS 3.1 beta 2, tethering via the IPCC hack no longer works for AT&T customers.

While iPhone OS 3.0 provides support for tethering, AT&T has yet to officially support it. As a workaround to obtain tethering (as well as MMS for some), some users have modified their carrier files (IPCC). As of 3.1 beta 2, this no longer works.

It's not that surprising that Apple would want close this loophole... but it is a little surprising that AT&T has yet to announce a firm date or rate plan for US customers to tether their iPhones.

[It should go without saying, but if you enable tethering on your 3.0 iPhone, you do so at your own risk; AT&T may slam you with a data overage bill or worse.]

Apple has released a 3.1 beta for the iPhone SDK. Both the SDK beta and firmware are available for testing and development to paid members of the iPhone developer program. As pre-release software, any details about this new release remain under NDA.

A pre-installation advisory and beta release notes are available as per Apple's usual release strategy. As before, you cannot use the 3.1 SDK to create applications for submitting to the App Store, so if you plan to download it be prepared to create a separate installation directory.

The new release comes just on the heels of the public 3.0 firmware. Its full-dot-number indicates that it contains more than just minor bug fixes (a relatively minor revision would probably be listed as 3.0.1).

Thanks to everyone who sent this in.