The legendary Dev-Team has done it again. It just released the new version of the Pwnage Tool, a desktop application that's used to create custom firmware packages to jailbreak iPhones and iPod touches.

Jailbreaking is the act of modifying the official firmware in order to run applications not approved by Apple. Chief among those applications, at least for the iPhone crowd, is the SIM unlock that allows the phone to be used on unofficial cell phone service providers.

The Dev-Team has found holes in previous versions of the iPhone OS that allow this code modification and has developed tools to make exploitation easier for the average user to accomplish. Once implemented, the jailbreak process installs an app that acts an unofficial App Store of sorts. The iPhone or iPod touch user can browse and install games, utilities, themes, and general applications. Cydia, one of these installer apps, even has a store with applications for sale.

Traditionally, when Apple releases a new iPhone OS version, that software upgrade breaks any jailbreak and SIM unlock present on the device. And so, you end up with the cat-and-mouse game that Steve Jobs alluded to shortly after the first firmware loophole was exploited and the original iPhone was unlocked.

Well, the mouse has stolen the cheese once again, and the Pwnage Tool released today will jailbreak the latest firmware, version 3.1.*

The big asterisk at the end of that previous sentence is that the Tool will only work on about half of the devices that use the iPhone OS -- only the original iPhone, original iPod touch, and iPhone 3G. The iPod touch line just released, as well as the 2nd generation iPod touch and the iPhone 3GS, cannot be jailbroken at this time. That means if you've already upgraded to 3.1 on your 3GS, you still won't be able to SIM unlock it as of the time of this post.

So, if you want to SIM unlock your iPhone 3G or the original model, Pwnage Tool 3.1 should do the trick. On the 3G, you'll need to use Icy or Cydia to also install the ultrasn0w app that actually performs the software unlock; however the original iPhone should be unlocked without this additional step.

You will need a Mac to run Pwnage Tool 3.1, but a Windows version is expected in the near future. Also expected soon is redsn0w, for both Mac and Windows, that further simplifies the jailbreak process by avoiding the need to create a custom firmware package.

Keep in mind, if you've been waiting for a jailbreak solution before upgrading to the latest firmware, many users have had fairly substantial issues with iPhone 3.1. My fellow TUAW blogger, Josh Carr, has reported that lots of iPhones and iPod touches are working poorly after upgrading. You may wish to hold off and stick with 3.0 or 3.0.1 until a solution is found, either by Apple or some other group of smart people.

But, if you're so inclined, you may find links to download Pwnage Tool 3.1 on the Dev-Team's official blog. Make sure to read the instructions thoroughly, and take heed of all of the warnings. They are there for a reason.

The cut, copy, and paste features (finally) included in version 3.0 of the iPhone OS greatly improve the productivity of the iDevices. However, there is room for improvement. Enter Erich Bratton with his clipboard manager app, Snippets, available now in the iTunes App Store [iTunes link].

Snippets offers a way to organize bits of text that can be accessed quickly to paste into emails, text messages, notes, and other places. The clips can be categorized into a number of pre-determined or user-created folders as well. To help get new users comfortable, the app comes with a variety of canned responses and other text pieces, some of which are hysterical.

The real power of Snippets lies in the ability to paste or create text in the app for later use. Think of it as boilerplates for your iPhone. If you find yourself writing similar things over and over, simply create an entry in Snippets. When you need to write that same text next time, visit the Snippets app first, view the desired text block (which automatically copies it to the clipboard), and then paste it into whatever app you'd like. It really couldn't be much simpler.

The canned responses included with Snippets are worth its price of $.99 alone, in this blogger's opinion. But even if you are wittier than I and appreciate original pieces of text, Snippets is a great app with a very easy-to-use interface that I plan to use again and again. In fact, I might just start using it to write some generic paragraphs that I can use in every review. What a time-saver!

About two weeks ago, the iPhone Dev Team started dropping hints about redsn0w, which is the project focused on jailbreaking the iPod touch 2G. Yesterday, the first unsupported tethered jailbreak, dubbed "Red Snow Lite" was released to the public.

Before you attempt to jailbreak your shiny iPod touch 2G, be aware of the caveats and potential device hazards. As the README quite explicitly states, this exploit is unsupported and requires tethering the device to your computer to jailbreak. What this means is that unless you are perfectly comfortable with using buggy development tools, installing some extra libraries and interacting in DFU mode, you really shouldn't be attempting to jailbreak your device.

It looks like you need to replace some special files in PwnageTool 2.5, create a custom ipsw for 2.2.1, extract and rename some core files and then connect to your device via DFU mode to patch and replace those files. That's a bit of an oversimplification, but the gist is: this is more complicated than just running one program.

I looked at doing this on my own 32 GB iPod touch, but I think I'll hold off. First, it isn't clear that the DFU issues the Dev Team is reporting for the iPhone jailbreak/unlock with OS X 10.5.6 don't affect redsn0w. Secondly, I'm not convinced that anything available via jailbreak is worth risking my $400 investment. Alternate iPhone themes look really cool, but a working iPod touch is even cooler. Thirdly, I really don't want to play guinea-pig to something that isn't ready for mainstream release.

I'm passing on the iPod touch 2G jailbreak for now. So iPod touch 2G owners, what say you? Are you going to take the plunge or are you going to watch from the Lido deck with me?

Update 2: Box.net will work with first generation iPod Touch units. The team is going to push an update very soon to make this visible on the app description page. You can download the program right now and it is fully compatible with all iPhone and iPod Touch units.

Update: Box.net is looking into why its new app is not working with first generation iPod Touch units and hopes to push out an update soon. We'll keep you posted!

I love Box.net -- the online file storage system that makes it easy to store and share files with other users quickly and easily. A couple of years ago, TUAW wrote up how to use Box.net as an iDisk (and this still works), but now the Box team has made it even easier to access your files while on the go, with the new Box.net iPhone app.

The app, which is compatible with the iPhone and the second generation iPod Touch (sorry 1st Gen touch users!), is simply awesome. Box.net already had an iPhone friendly mobile interface at i.box.net, but while you could access some files from that page, you couldn't play back media and document viewing was more limited. The new application means you can play back audio and video (assuming the file is compatible with the iPhone 2.1's firmware support for QuickTime), view PDF or Office files, view photos, and upload photos from your iPhone or iPod Touch directly to Box.net.

Even nicer, the Box.net app integrates directly with your address book, so you can share a folder or individual document with a contact, just by clicking the "Share" button and selecting the contact from the address book. The application also notifies you of any updates or changes made to your box, which is great for individuals who collaborate with other users using a Box.net account.

I have a free Box.net account (which limits me to 1 GB of storage space and puts a 25 MB cap on file sizes), but I was able to access all my files and documents with ease. On my iPod Touch, Box.net loaded PDF files faster than some other tools I have used for PDF viewing, though I did find that network activity did impact overall speed. When the bridged router I use with my non-802.11n devices was in heavy use, it could take quite some time to load a large PDF. When the G router was idle, load time was almost non-existent, even for 8 or 9 MB files.

I don't have an iPhone, so I cannot vouch for EDGE or 3G speeds -- but over WiFi, speed was solid.

The interface of this app, as you can see from the gallery, is just superb. It perfectly matches both the Box.net website and the iPhone user interface guidelines. Maneuvering through files was a cinch and I love the integration with the address book for sharing files or folders. Being able to upload photos directly to Box.net is also pretty great.

If there was anything that could be on my wishlist, it would be the ability to upload other types of tiles to Box.net as well. Of course, you can always e-mail uploads to Box.net, so this isn't an absolute necessity.

Box.net is free and available from the App Store now.