After a week of several internet searches and several posts in this forum, I was able to restore my iPhone. I haven even updated to iTunes 7.7 from the 7.5 version.

Due to the fact that my iPhone had 1.1.4 Firmware, I used both iTunes and iLiberty+
in order to restore it.

Both iLiberty+ and the Pwnage Tool come with applications. However, I would be much more pleased to use the Pwnage Tool and its applications.

After the iTunes update to 7.7, my iPhone was marking to be using Firmware 1.1.4 I was "invited" by iTunes to get firmware 2.0 but it sent the phone into DFU mode.

I know I can downgrade to iTunes 7.5, and do other things, (hassle!!), to restore to version 1.1.4 again.

However, do I ever get to kiss goodbye iLiberty+ and start getting to use the Pwnage Tool (and its applications) or should I just stick to iLiberty+ ??

When I tried to upgrade from Firmware 1.1.4 to 2.0, my SIM card from Mexico was inside. Should I upgrade without the SIM card??

Thank you in advance,