yellowsn0w, the dev team's coveted 3G software unlock for the iPhone, is set to have a live demo today at 3PM EST (about 2 and a half hours from now). The Dev Team posted on their blog
MuscleNerd will use Qik to broadcast a live video and audio stream (from an iPhone 2G) of an iPhone 3G being soft-unlocked with yellowsn0w... if you have a question that hasn’t already been answered in our previous blog posts, please tweet them in advance to Musclenerd.
The Dev Team has previously stated yellowsn0w will only work on iPhone 3Gs that have 2.11.07 baseband or earlier (check Settings > General > About > Modem Firmware to find your baseband version). The actual yellowsn0w package will be a simple install from Cydia once its released New Years Eve.
UPDATE: Here's the video of it in action.
[ame=http://www.youtube.com/watch?v=HorEuJ2lIf0]YouTube - iPhone 3G Software Unlock[/ame]