I have an original 2.5G iPhone that I updated yesterday to the new 2.0 firmware. After the phone updated iTunes attempts to activate the phone. It asks for my mobile number and attempts to connect to AT&T. It then comes back with an error message: "Your current AT&T voice plan is not eligible for iPhone. Please contact AT&T..."

I spoke to an AT&T rep who told me that you might not be able to use the iPhone with a pre-paid account with the 2.0 software and beyond. Can they even do that? Is anyone else having similar issues?

I'm waiting for someone from either Apple or AT&T to get back to me on this.

Thread renamed and moved to the right section.
Please read my signature about the title format to know why, thanks.

So are you on a legit AT&T contract that came with the phone and you never had the need for an unlock? Or are you on some other ontract from them and are wanting to do the smae thing that o2 customers in the UK are doing? If the prior is true you need to be asking for help from AT&T, if the latter is true you need to know you cant do that, you have to wait for an unlock.