iPhone Dev Team is set to release “yellowsn0w”, the ultimate hacking utility to unlock iPhone 3G on December 31, 2008, New Year’s Eve of 2009. Yellowsn0w is going to be packaged into an user-friendly application with the simplicity that similar to QuickPwn or BootNeuter. Can’t wait for the Yellowsn0w to be released? A teaser demo video has been released to quench your thirst.

Yellowsn0w 0.9 released.

iPhone-Dev Team member, MuscleNerd did a live video demo on how to use “yellowsn0w” to unlock iPhone 3G in order to use non-AT&T (the only carrier authorized to carry iPhone 3G in US) SIM card on the phone. The video demonstration showed MuscleNerd removed the AT&T SIM card from the iPhone, and replaced it with a T-Mobile SIM card. As expected, no connectivity after the switch. Then, “yellowsnow” is ran in the SSH session with the iPhone. Yellosn0w unlocks the iPhone, and without having to reboot, the mobile connectivity signal bar magically appear, now using T-Mobile GSM. The unlocking crack act is confirmed by MuscleNerd received a call.

The demo video clips are embedded video. The first video is pre-demo demo, while the second video is actual implementation usage of yellowsn0w to unlock iPhone 3G.

Yellowsn0w unlock method supports iPhone 3G with baseband 2.11.07 or earlier only (baseband version canbe checked by going to Settings -> General -> About -> Modem Firmware). Before the unlocking taking place, the iPhone 3G has to be jailbroken with tools such as PwnageTool and WinPwn. Once jailbroke, yellowsn0w is installable via Cydia and supports both Mac or PC.