The iPhone file system has been compromised and you can access it using iPhoneInterface. Full access to the file system means custom ringtones and all kinds of fun stuff.One them you can see in the image: They moved the Safari application from the dashboard to the iPhone space. This also opens the door to running custom applications as soon as someone figures out how to program without an SDK or adapt normal Cocoa apps to the iPhone. And the unlocking feels so close now that you can almost touch it.
The version of the tool has not been posted yet but, according to the iPhone wizards at IRC channel #iPhone, it will be out soon. Likely, the application won't be easy to use for us mere mortals, so don't go around the IRC channel pestering them with requests. If you are not a hacker, you will have to wait until someone else creates a graphic application that wraps the amazing work these people are doing.
Like Strong Bad would say: p0wned!