iH8sn0w has released the first beta of jailbreaking software sn0wbreeze. This software allows you to create custom firmware for your iPhone 2G, 3G, 3GS (non MC), iPod 1G and 2G (non MC). This software is completely compatible with Windows 7, Windows Vista and Windows XP.

Click here to download (Download the sn0wbreeze).

Now follow this step by step procedure to jailbreak your iPod 1G and 2G(non MC) and jailbreak and unlock your iPhone 2G, 3G and 3GS (non MC)

Pre-requisite

1- iTunes

2- IPSW
(Click here to download IPSW for iPhone 2G)
(Click here to download IPSW for iPhone 3G)
(Click here to download IPSW for iPhone 3GS)

3- sn0wbreeze

4- .Net Framework 3.5 (You dont need to download it if you are using Windows 7)

Here is the procedure

1- Launch the sn0wbreeze and press the next button.

2- Select Simple Mode and click Next.

3- Now sn0wbreeze will ask you to select the ipsw file you already have downloaded according to your device. In this tutorial I am jailbreaking and unlocking an iPhone 3G so I have downloaded ipsw file for iPhone 3G. Browse for that ipsw file and select it.

now sn0wbreeze will verify your selected ipsw file.

4- After verifying click on Next arrow again. Click on Start.

5- At that point if your selected ipsw file was of iPhone then it will ask you to whether you want to activate your iPhone. Hit Yes if you want to use nonofficial carriers.

6- Now press Start button, and sn0wbreeze will create custom firmware for your device. After completing your new customized ipsw firmware file will be sitting on your desktop.

7- Now its time to install it on your device. Connect your iPhone or iPod. Launch iTunes, holding Shift button on your keyboard press the Restore button. Now iTunes will ask you for the ipsw file, locate to the desktop and select the ipsw file that you created using sn0wbreeze. iTunes will restore you iPhone or iPod with custom iPhone OS 3.1.2.

Finally your device will restart and tada, you iPhone is fully jailbroken and unlocked, and your iPod is jailbroken.