Is there a way that you can load "iPhone1,1_1.0.2_1C28_Restore.ipsw" into iTunes so it's just like if you downloaded it when it was available as the latest update? So if I click the "Restore" button within iTunes it'll be all set to load the 1.0.2 firmware restore image.

My iPhone is still version 1.0.0!!

Sorry if its a dumb question but I haven't seen it posted anywhere else on here!

When iTunes downloaded this file for me it put it in the following directory:

c:\doc & settings\ user \ Application Data \ Apple Computer \ iTunes \ iPhone Software Updates

However, just hold down 'shift' while you click 'Restore' and you can navigate to the file on your machine anywhere.

Ooops, forgot to mention I'm using OS X 10.4

There're several ways to do this but the basic idea is to use your mac as a web server and redirect every http request to itunes.com to your own mac.

Here's the detail.
http://www.howardforums.com/showthread.php?t=1246823

Look at the posts by gotanmp3

Good luck.