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MuscleNerd has recently announced via tweeter that ultrasn0w unlock for iPhone is now fully working on iOS 4.2.1

Finally got ultrasn0w working fully on 4.2.1. Apple inadvertently(!) broke ultrasn0w via aggressive compiler optimization

MuscleNerd previously announced that the ultrasn0w unlock should be available by Sunday for the iPhone 3G and iPhone 3GS. The unlock for the iPhone 4 will take much more time.

UPDATE: this is not a reason for update to iOS 4.2.1, wait for utilities.

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DevTeam hacker MuscleNerd tweeted that they after releasing redsn0w jailbreak for 4.2 the team can start working on iPhone unlock. Users can expect the unlock for the iPhone 3G and iPhone 3GS this week. The iPhone 4 unlock will take more time and no concrete info is available about that yet.

The ultrasn0w unlock will be released for iOS 4.1 firmware. So is you need unlock, do not update to iOS 4.2.1.

DevTeam recently released new version of redsn0w to jailbreak iOS 4.1. New RedSn0w 0.9.6 b1 supports iOS 4.0 and iOS 4.1 running on iPhone 3G or iPod touch 2G.

There is only Mac OS X x86 version, that you can download here.

Redsn0w is easy to use:

1. Download firmware here.
2. Launch redsn0w 0.9.6 b1
3. Select your stock 4.1 or 4.0 ipsw (you’ve already used this to update your device to 4.1 or  4.0)
4. Select “Install Cydia” and any of the other options shown above, then click “Next”.  Use DFU mode to install the jailbreak.

As usual DevTeam reminds us:

IF YOU USE THE ULTRASN0W UNLOCK, PLEASE WAIT FOR PWNAGETOOL TO SUPPORT 4.1.  DO NOT USE REDSN0W

That’s because to use redsn0w at 4.1, you need to already have updated to official 4.1 from Apple.  If you do that, you lose the ultrasn0w unlock (possibly forever).

You cannot use JailBreakMe method to jailbreak and unlock iOS 4.0.2 on iPhone 3G. However you can still jailbreak and unlock iPhone 3G using redsn0w. Here are the instructions:

• Download the latest RedSn0w 0.9.5-b5 in our utilities page here.
• Download firmware images for iOS 4.0 here.
• Run RedSn0w and point it at the 4.0 IPSW. (Yes – point it at the 4.0 IPSW even though you’re at 4.0.2). This will also hacktivate your iPhone3G at 4.0.1 if you haven’t already been activated by iTunes.
• If you need a carrier unlock – install ultrasn0w in Cydia (add repository http://repo666.ultrasn0w.com). For T-Mobile in the USA remember to turn off 3G mode in Settings→General→Network.

Having problems activating your iPhone? Don’t have original SIM-card? Cannot get passed emergency unlock screen? We have a solution:

If you have iPhone 3G, just use redsn0w to jailbreak and hactivate. If you have iPhone 3GS or iPhone 4 follow these instructions:

If you are already Jailbroken:

So you have an iPhone with iOS 4.0, but don’t have the original SIM and stuck on the Emergency Call Screen:

1. Download ifunbox software (download link)
2. Run ifunbox software and sync with phone
3. Go to /private/var/root/Library/, delete original lockdown folder and put this lockdown folder after you extract it from the zip file
4. Restart phone

If you are not jailbroken:

Sherif Hashim discovered that you can activate your iPhone 4, iPhone 3GS or even iPhone 3G without the original carrier SIM card. You need a “phonebook sim card” or 02 simcard. You can buy these type of sim at radioshack, bestbuy or other mobile electronics store (for example here).

Once you get passed the Emergency Call screen, connect to Wifi, jailbreak using JailbreakMe.com and unlock using ultrasn0w. Once that is complete you should be passed activation and unlocked (able to use any sim). If you get a different simcard error, do the following final step:

1. Download ifunbox software (download link)
2. Run ifunbox software and sync with phone
3. Go to /private/var/root/Library/, delete original lockdown folder and put this lockdown folder after you extract it from the zip file
4. Restart phone

If you have itunes invalid response problem:

1. Connect to wifi and ssh to your phone (via winscp, putty, terminal, etc).
2. Navigate to your lockdown folder (/private/var/root/Library/).
3. Delete pair_records folder
4. Reconnect the cable and see that your invalid response problem is gone.

If you bought your iPhone 4 on ebay you will need the official sim (at&t) or a universal sim, like ones you can grab at bestbuy for $10 this will get you passed Emergency Screen.