It's never 100%, but the Apple Rumor Mills out there are saying a new faster/better iPhone will be released in late June or early July. The phone will have a faster processor, better battery life, video, better camera, and a new OS that will do a whole ton of cool stuff.
Apple tries, although not very hard, to keep some control on the phone software and what you can and can't do with it.
Smart people very early on figured out through some very easy software mean to "break" in to the phone so as to allow "features" and "processes" that are currently not allowed or supported by Apple with a standard, non "broken" phone.
A big "jail breaking" feature that Europe loves is that they can "break" the phone to work with other carriers, other than just AT&T. That's why you can still sell an older iphone to someone in Europe for a lot of $$$. Almost what you paid for it.
While I don't bother to break my phone, it's easy to do. Just download the necessary software, read a couple of instructions, and about a minute later, your phone is "jail broke" and you can start doing all kinds of hacks and crap with it.
Apple will "update" it's phone software with a minor update and all those hacks you just installed won't work - until they are updated, etc. I just don't play that stupid game, as there are literally about a million kick-ass applications you can download for the iPhone.
My advice is to wait a month.
If not, I'll trade you straight across today - my iPhone G3 for your new NULA 7mm-08. Deal?
Seriously - wait until the end of this month. Best free advice you'll get from me tonight.