Doing a bit of research, I found as probably you all will know that for $175 ( thats the constant figure I have been seeing anyway ) you can terminate your agreement with ATT and they will unlock your iphone.

Now am I right in thinking for them to do this, without you having to physically take it to a store, ATT would have to send you a firmware update that actually unlocks the phone itself.
Or in someway logging onto itunes and downloading something from there.

It might be a good way of finding out what has been done, for example... looking at the dump before unlocking and after, and also if possible getting the file that ATT send to unlock the phone.

My only other question is, who actually unlocks the phone? ATT or Apple, they seem to be having a bit of a problem deciding who does what at the moment.

To add to this further,

I can't see Apple changing anything physically to the phone for release in other countries, it would be too expensive, I guess its all down to which firmware you stick on the phone.

I do this with my PSP ( not the same I know )

I can for example download a European or Japaneese firmware onto my PSP and run it, this will change the setting to that particular firmware, and has not damaged or bricked it like the Sony website says.


I think someone should pay to terminate their contract, I would but my iphone is still awaiting to be activated.

You're right about the $175 to cancel, you are wrong though about them unlocking your phone. They dont have to do anything...

Apple is in an exclusive 3+ year contract with AT&T and has no reason to unlock the phones.

Ok, So mobile networks are not legally obliged to give you an unlock code or anything, but I am wondering what Apple have done here, I mean they cannot expect everyone to stay on ATT,
and lets say that when it becomes available in countries like the UK not everyone is going to want to be tied to Vodafone or Orange.

Guess we'll just have to wait for someone to suss it out

Yo~ You do not need to pay anything to cancel your service. ATT will give you 30days of trial. I have canceled my service yesterday. They game me some grief because they wanted me to return the equipment before canceling, but I managed to convince them to keep it.
I now have a working iPhone with no service and I paid 3$ in total of prorated charges.

Ok, so I am an existing Cingular/AT&T customer (Don't ask, work discount). I don't really want to add $20+ to my bill every month for two years, and don't want to sign another contract. If I were to do what you did and then insert my current (non-iPhone) SIM card, would I have service? Or would I have a really expensive iPod with Wi-Fi?

You'd have a really expensive ipod with wi-fi...

yes....but for us forgeiner too much !!

You incorrect, if you read the contract. If you cancel within 3 days you will not be billed the 36 activation charge. If you cancel within 30 days you will be billed the 36 activation and one month service, but will not be charged the 175.
I activated mine and canceled in 1 day. NO CHARGE. Iphone works great with WIFI, IPOD and video.
It took me one hour with At&t customer service to actually cancel, they will throw the 175 in front of you.

subscriber must live and have a mailing address within AT&T’s owned network coverage area. An early termination fee of $175 applies if service is terminated before the end of the contract term. If phone is returned within 3 days, activation fee will be refunded. If phone is returned within 14 days in like-new condition with all components, early termination fee will be waived. Service may be cancelled after 14 days but within 30 days and early termination fee will be waived, but equipment may not be returned. All other charges apply. Some dealers impose additional fees.

Service Cancellation

You may cancel service within 30 days from the activation date to avoid the early termination fee of $175.

You will be responsible for all applicable usage fees, prorated access charges, taxes, surcharges or other charges through the termination date.

If you cancel service within the return period but do not return the equipment within the return period or if equipment is not returned in like-new condition, you may be charged the full retail price of the equipment.

If you paid a security deposit, it will take 1 to 2 billing cycles to process the return of the security deposit. The charges for service used on the account before the service termination date will be applied against the security deposit.

What do you think for a not US boy to do this : ?

Put an invalid SSN and after this, select prepaid plan and put a US virtual Visa credit card that you can buy on internet....
(it's a card for buy on internet with security)
After this we have a beautiful IPOD SPECIAL EDITION, and can enjoy with him....
WAITING THE SIM LOCK !!!

having worked for cingular (the new at&t) i can say that they are NOT responsible for unlocking the phones. A request is submitted following guidelines that should be followed by the csr. After this request is submitted it is then transfered to the company that makes the phone and they review the request for the Subsidy unlock code , as its called. If the request is approved then an email or a phone call follows from that companies technical support with the unlock code. After this is completed though ; very few companies will pick up an unlocked phone and if they do the performance of the phone is solely up to the customer. THe phone company can no longer help with technical support as the software of the phone is built and customized to each provider (i.e. a regular slvr has 2 music software programs where as a AT & T slvr has 1) Also; if insurance is offered on that particular phone; you can guarantee that it will not be offered if it is unlocked ; and they will know because all the IMEI numbers are logged to the particular carriers; there for you cant take a sprint phone and bring it to the verizon network and expect to get insurance or indepth technical support