Looks like the 3GS has been jailbroken!
Good news and GREAT JOB TO GEOHOT!
Now that that being said, the jailbreak probably wont be released until version 3.0.1 of the iPhone 3G firmware. Why? Geohot and the dev team fully expect Apple to attempt to block Ultrasn0w with that firmware and they dont want to let Apple get the jump on them by releasing the unlock method before Apple releases the updated firmware.
Here are a few Geohots Blog entries/responses:
Blogger purple2k said...
It's hard to tell. The Dev-team will not release the JB until 3.0.1 is out, and that's a good thing.
We are expecting apple to release 3.0.1 soon to block ultrasn0w, if the JB gets released now, they will certainly block the iboot exploit as well in the same release.
By waiting, we hope that 3.0.1 will still have the iboot exploit geohot found, and we'll gain a grace period until 3.0.2 (which will hopefully not be so soon after 3.0.1, because apple wouldn't want to look like a fool with all the versions).
Hope this helps,
AND, for those that have NOT done the ECID trick, read this:
"AFAIK, there is still no workaround for the ECID thing. geohot uses an iboot patch to upload a LLB to the phone which utilizes the 24kpwn patch in the bootrom.
If you upgrade your firmware to 3.0.1 (when it's out), it's likely to include a new version of iBoot which will have that hole plugged, and you will not be able to upload the old iBoot to your phone even though it's apple-signed-code because of the ECID thing.
So my guess is - whoever doesn't get his signature from purplera1n asap will be left with an unjailbreakable phone."
See attached picture (blurry but proof. This is exciting indeed!