From what I gather it seems the 1.0.2 apps need to be modified to work on 1.1.1 which is fine, but my big concern is about future development of apps. Will developers make apps for 1.1.1 only? I hope they continue to support 1.0.2 since my phone is unlocked and until there is a safe upgrade path to 1.1.1 I am not going anywhere near it.
It would suck if new application updates on Installer.app are for 1.1.1 and look fools us 1.0.2 people update it and it ends up breaking our phones.
So I urge the developers to proceed with caution when it comes to the differences and potential damage to 1.0.2 phones.