That's right, the iPhone is officially unlocked, at least according to a post on Engadget. But it's believable, especially in light of the photo gallery they've got posted, including shots such as this one depicting the cute little device running on the T-Mobile network. According to the post:

"The iPhoneSIMfree.com team called us up to prove their claim that they cracked Apple's iPhone SIM lock system, and prove it they did. (No, we don't have a copy of the unlock software, so don't even ask us, ok?) The six-man team has been working non-stop since launch day, and they're officially the first to break Apple's SIM locks on the iPhone. It's done. Seriously. They wouldn't tell us when and how they would release it to the public, but you can certainly bet that they'll try to make a buck on their solution (and rightly so)."

Engadget claims that the unlock process is painlessly simple, and only takes a few minutes. Once unlocked, the iPhone sets up as any ordinary phone would. Because the unlock process is really about limitations in the device's software, and because you buy the iPhone from Apple and not from AT&T, you don't even need to set up the initial AT&T contract. Sounds like a win all around, from my perspective. There have been numerous complaints about the service plans AT&T has been offering, after all, ranging from odd billing errors to mistakes to simple weirdness.

As for the hack itself, all I can say is it's about time. What's it been, two months? Those hackers are getting lazy.