I Just did it guys, 1.1.1 firmware straight out of the box!!

First i used kMACs guide to downgrade, however i think i made it a bit simpler, i used iTunes version 7.3.0.5 that DVD John hacked!!

OK,

1. Dock iPhone and iopen iTunes, you will get a messgae saying you need iTunes 7.4 to activate. Just click Ok.

2. Hold the Power and Menu buttons for 10 seconds until the iPhone turns off and then let go of the power buttin leaving only the menu button pressed.

3. iTunes will now recognize the iPhone is in restore mode although the iPhone screen will be blank.

4. Hold Shift(PC) and click the restore button and choose the 1.02 firmware. After it restores, you will get an error, just click ok.

5. If you have used DVD Johns tool, when the iPhone restarts after the restore, iTunes ver 7.3.0.5 will recognize it and activate it straight away.

6. Reflash Old Modem firmware using Putty.

(Elaborated)

Install SSh on Iphone using installer.app ot ibrickr or whatever you want. In ibrickr, i created a new folder called unlock, in this folder i uploaded bbupdater, ICE03.14.08_G.eep and ICE03.14.08_G.fls.

I then used Putty to connect to the iPhone and ran the following commands,

chmod +x bbupdater
launchctl unload /System/Library/LaunchDaemons/com.apple.CommCenter.plist
./bbupdater -f *.fls -e *.eep
launchctl load /System/Library/LaunchDaemons/com.apple.CommCenter.plist

After doing this i got an error saying failed to download fls image, could not verify or something like that. I restarted the iPhone and did the same thing again, the exact same commands as above and this time got no error.

7. Just use the Unlocking method of your choice, i used iBrickr and anySIM1.02

Thats it!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

........... i dont' think so, u're just bs

^^^^^ Lol!!

Think what you want my friend cause your gonna have 100's of people confirming this in the next few mins

Uh there have been people that have done this, you haven't read the whole thread on this:
http://www.hackint0sh.org/forum/showthread.php?t=9016
This will give you some background to this.....at least the firmware downgrade......

Could someone confirm?

I dont think he is BS-ing, many people are reporting good results but I dont know if they are actually able to reflash the old baseband yet.

pspsully, can you elaborate on step 6 "Reflash Old Modem firmware using Putty?"

Well, I have opened my brand new 1.1.1 and downgraded it to 1.0.2 and even been able to get to springboard through iUnlock PQDVD application, but now how do I put needed files to iPhone to downgrade the baseband as iBrickr does not see it...
Need to Jailbrake it somehow...

Hows That??