> I _am_ in the US.  I just don't know where to look. I searched ebay
> and found unlocked phones going for somewhere between $550-700.

Why not just get a new one, downgrade to 1.1.1 and unlock it? [1] [2] [3]

Honestly, I've noticed some instability on my unlocked phone running
1.0.2 but I have no way of knowing if this is due to the unlock (which
does use a buffer overflow exploit to mess with the baseband firmware)
or just due to running 1.0.2.

The unlock is _fairly_ easy, especially with [2] and [3].

[1] http://www.tuaw.com/2007/11/09/iphone-elite-1-1-2-jailbroken/
[2] http://jailbreakme.com/
[3] 
http://www.iphoneatlas.com/2007/10/16/anysim-graphical-unlock-for-111-iphones-released-instructions-for-installing/

-- 
Aditya (http://aditya.sublucid.com/)

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