"So far all attempts to downgrade the baseband have been unsuccessful," the Wiki said. "There have been several reports of successful baseband downgrades online, but these haven't been confirmed." Of course, rolling back is not the only option, and the race is also on to find a method to unlock iPhones with v1.1.1 firmware installed.
Tom Ferris, a security researcher who works on hacking the iPhone, said that due to tougher encryption of the iPhone firmware, it is going to be harder this time to hack the device. "That's what everybody's working on right now is trying to get into the firmware," he said. "Just like Steve Jobs said, it's a cat and mouse game."
Apple Inc. has recently been the subject of a lawsuit that primarily targets the $200 iPhone price drop but also names AT&T due to the lock it has on the iPhone in the United States. The world's largest handset maker, Nokia, has sent out some cryptic posters that ridicule the provider lock being enforced by the iPhone maker.
Source:
PC World