This guide has been tested by me with 5 iphones that used to be unlock with tmobile and worked flawlessly running 1.1.3 unlock to TMobile.
This is only for BL 3.9 or OTB 1.1.1 and below.
FOR EASIEST ACTIVATE+UNLOCK+JAILBREAK 1.1.3 or 1.1.4 DOWNLOAD 1.1.3 RESTORE IMAGE FROM DOWNLOAD LINK | OR FOR 1.1.4 JUST DO THE PLAIN RESTORE ON ITUNES Then USE ZIPHONE 2.5c..
Alot of people getting error FOR NOT FOLLOWING SIMPLE INSTRUCTION on using Ziphone 2.5c
SO MAKE SURE YOU DO A FULL RESTORE TO 1.1.3 or 1.1.4 instead of UPDATE!
NEXT is to make sure you do NOT KILL ITUNES! LEAVE it open while ziphone do its thing.
LAST BUT NOT THE LEAST, SET YOUR iphone to NEW IPHONE then sync it, instead of restoring to back up.
ON INSTALLER: MAKE SURE YOU UPDATE IT IT ASK YOU THEN INSTALL BSD SUBSYSTEM BEFORE INSTALLING ANYTHING!
This guide is from following EffeXTC and PF for the unlock

Thank you guys! You are awesome!!
Files you will need:
Iphone 1.1.1 Firmware
Iphone 1.1.2 Firmware
iBrickr V.91
1.1.2 Jailbreak
iTunes 7.6 or 7.5
WiFi Connection REQUIRED
And about 2.5 Hrs of your time.
Step 1: Preparing your iphone for DFU
If you haven't do so, plug your iphone to your computer and open up itunes. Put your iphone to
DFU mode by pushing and holding
Sleep/powerup button and
Home Button until your iphone screen turn black and you hear the beep sound on your computer then let go of your Sleep/Power button but keep pushing your
home button. Now in about 20 seconds, you will hear another beep on your computer then itunes will recognize your iphone that is on
DFU mode.
Step 2: RESTORING PART
On itunes, press and hold shift+restore (for windows) and browse on your Iphone 1.1.1 firmware you have on your file or you just downloaded then click OK. Itunes will start on restoring your iphone, relax and wait till the restore is done. You will get error 1015 THAT IS NORMAL. Click ok on the error message then Ok again on another message that telling you your iphone is on recovery mode. go press and hold shift+restore again then browse on your iphone 1.1.1 firmware again then click ok. Once it is done YOU WILL GET Another 1015 error that is GOOD! now open up ibrickr V.091
Ibricker will give you 2 options.
BOOT THE IPHONE or
DOWNGRADE to 1.0.2 CLICK
BOOT THE IPHONE.your iphone screen will turned red. Then after few seconds you will get the activate screen.
Step 3: JAILBREAKING AND ACTIVATING 1.1.1
On your iphone, slide to emergency then dial *#307# iphone will ring then delete *#307# and dial 0 then press answer, now put the call on HOLD. The phone will ring again this time press decline. You will now have access on your contact. Create a new contact name it whatever you want. look for add url tap it then add this:
prefs:/ tap save, tap add url again and add this:
http://www.jailbreakme.com tap save then save your new contact. now tap your first url
"prefs:/" This will take you to your settings. Go to your WiFi connection and add your network. Now push home button. This will take you back to your activation screen. Slide to emergency again then dial 0, phone will ring press answer, put it on hold then phone will ring again then press decline.
Back to your contact that you created, now go to the
http://www.jailbreakme.com your safari will open then once the website fully loaded scroll down to buttom page then install appsnap. Your screen will be back to activation screen then will reboot in a few moment. Then you have the slide to unlock. Iphone won't have service if you downgraded from 1.1.2
Step 4 PREPARING FOR UPGRADE TO 1.1.2
Back to itunes, if you havent done so close all those pop up messages earlier. Then setup your iphone to your back up file. Once that is done, Back to your iphone and open installer. Scroll down to tweaks 1.1.1 and install oktoprep. Once you get the you are ready to upgrade to 1.1.2 click ok then pushed home button and let it soft reboot to slide to unlock. Back on itunes, press and hold shift+
UPDATE then browse on your iphone 1.1.2 firmware on file then click OK. Itunes will now Update your iphone to 1.1.2. Once it's done click OK on any message your itunes will give you then close it. Run 1.1.2 JAILBREAK Don't bother installing SSH then follow prompts.
Step 5 PREPARING FOR UPGRADE TO 1.1.3
You should have an activated jailbroken 1.1.2, open installer and install BSD Subsystem 2.1 under SYSTEM folder Make sure your installer is also updated. Go back to home and let it soft reboot to slide to unlock. Go to settings->general->auto lock to NEVER. Back to installer Go to system folder and install OFFICIAL 1.1.3 soft upgrade and follow the prompt. If your iphone is UNLOCK and didn't use the ACTIVATION through itunes then press YES on first popup message regarding about the hactivation and NO to the next message. Sit and relax make a coffee or something cause this will take about 20 mins to 50 mins. Once it is done, you will see EITHER totally black screen with your network service wifi time on top, or rebooting your iphone. If you have been waiting for 10-15 mins Go ahead and press and hold sleep/power button and home button until the screen turns black then let go on both button, then press sleep/power button to turn it back on.
Step 6: UPDATING BASEBAND TO 04.03.13_G AND UNLOCKING 1.1.3 TO USE WITH ANY GSM SERVICE PROVIDER
You should have a working 1.1.3 activated without youtube activation. Go to Settings-General-Auto-Lock- It should be still on NEVER if not set it up to NEVER. Open installer and install BSD SUBSYSTEM 2.1 And update installer to 3.0.
Now we will need to add Iclarified source for the baseband update and unlocking 1.1.3 and i.unlock.no sources for YouTube activation issue. Go to sources click edit then ADD add this on the url address: i.unlock.no then click OK after it's done refreshing tap add again and add installer.iClarified.com click ok then click done after the refresh then tap REFRESH to refresh the sources. Go to install and open iClarified
Install BASEBAND UPDATER. Should take around 5mins. Once it's done, reboot your iphone. You should have 04.03.13_G BB. Back to installer again and go to iClarified then install ANYSIM 1.3. Back to home button and let it soft reboot to slide to unlock. Now, you should see the anysim application on your springboard. Go to Settings-General-
TURNED AIRPLANE MODE ON then back to springboard again and you are ready to unlock your iphone. Tap Anysim and follow prompt. after you get the Unlock Successful Click ok then turn AIRPLANE BACK OFF, you should see your network AGAIN then reboot your iphone.
Step 7:YOUTUBE ACTIVATION
You should have a 1.1.3 unlock with the GPS full functionality without the NAVIZON/LOCATE ME. Now we need YouTube back to be activated. back to installer scrolldown and open unlocking tools, install YOUTUBE ACTIVATION. Let it soft reboot after the install to slide to unlock then REBOOT YOUR IPHONE. Once your iphone back on, Your YouTube should be working now.
Step 8:
CLEANING UP:
Ok, Now you have 1.1.3 unlock with YouTube activated. Back to installer go to uninstall and UNINSTALL ANYSIM1.3, and BASEBAND UPDATER.
TROUBLESHOOTING:
SOUND: If there are no sound coming out from the speaker but your ringtone can make sound, Go TO SETTINGS-GENERAL-RESET- RESET ALL SETTINGS.
After your Iphone reboot, you will have your sound back
