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From somewhat widespread anecdotal stories, firmware 1.1.1 has bricked SIM-hacked and un-hacked phones arbitrarily, FWIW.
I restored mine to factory settings and upgraded to 1.1.1 w/o issues. One can still downgrade to 1.0.2 and run third party apps, but the SIM hacks are not working . . . for now.
The hacker community for the iPhone is very active and I expect third party apps will be back and eventually Apple will bless these third party apps via some yet unknown protocol.
Best,
Kurt
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