The following open source packages are now available at http://iphone.natetrue.com:
SSH2 126.96.36.199 (Full distribution, clients/servers)
Python 2.5.1 (Build 6, Many modules fixed)
iPhone-Binkit 0.05 (vim, top, tcpdump, kext tools, minicom, route, ifconfig, cron, netcat, and many others)
With build 6 of python and SSH2, it is now possible to set up WebShell to obtain a usable shell on your iPhone through iPhone's Safari. The HOWTO can be found here: http://iphone.fiveforty.net/wiki/index.php/Webshell
Many other open source tools are in the works, including a perl distribution. Stay posted.