MAC USERS: You might wanna check this thread first:

I've noticed that some folks in here are having a lot of trouble getting youtube to work, even though deleonju provided youtube certificate files that work great with Darkmen's Patching Activation method with no hassles.

So, I decided to step in and give some help.

What I did was to wrap up youtube's files and patching activation in a single "point and click" script, so you don't have to think too much to make things work.

I haven't included the jailbreak part because the files are just too big and that would probably constitute copyright infringement.

TESTED with Windows XP and iPhone 1.0.2 Firmware. Other configurations might work also, post your experience here.

Here's what you have to do:

1) Kill iTunes related processes.

2) Jailbreak your iPhone (instructions in:

3) Download and unpack this file:

(UPDATED in September 12th 2007: no need to restore your phone anymore!)

(Remember to UNPACK everything first, don't run directly on WINRAR or WINZIP (or the equivalent you're using)

4) Run the activation.bat batch script that is included. Any doubts, check README.txt

5) To reverse PACAY and restore your original files, click "reverse.bat". You will have to re-activate your phone.

You'll be given instructions along the way, but mostly you'll just have to watch.

At the end, you'll hopefully have an activated iPhone with YoutTube working.

The good part is that this method is SIM card independent. So you can put any ATT SIM in the phone (or any SIM for the folks that have done GeoHot's unlock!). This means that you can change SIM cards without having to re-activate the phone.
Another advantage is that you won't have to install an SSH sever (dropbear), which some folks here are not willing to do.

This is the first version of the script, pre-alpha if you wish. I'd appreciate any comments so the script gets really fool proof.
I have tested this script with my own phone several times, so It should work fine. If you have any problems, post here.

I did it under Windows XP simply because I don't have a MAC. :P
Also, I think MAC people already have pretty nice tools.
Anyway, if you wanna replicate this idea your own way, just do a patching activation, then copy deleonju's youtube files

Thanks to brasuco for this fix.