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In an earlier IBTimes UK report, it was announced that AT&T had decided to unlock iPhones of off-contract users. Furthermore, other earlier reports have discussed eligibility criteria and the service provider's method of unlocking the iPhone using back-up and restore from iTunes.

There is, however, a downside to this process - you are forced to compromise the untethered jailbreak during iTunes' restoration.

MuscleNerd, the brains behind the iPhone-Dev Team has unearthed a workaround to help you enjoy the untethered jailbreak while also successfully factory-unlocking the iPhone from AT&T, reports JBU.

How To Unlock iPhone 4/3GS Without Losing Jailbreak Using Redsn0w:

Step 1: Download Redsn0w 0.9.10b6 to your PC.

Step 2: Connect your iPhone 4 or iPhone 3GS to your computer using an USB cable and launch Redsn0w 0.9.10b6.

Step 3: Hit the "Jailbreak" icon which will initiate a normal connection.

Step 4: You will need to switch your iPhone to DFU mode. To do this you will:

  • Press and hold both the "Home" and "Power" buttons simultaneously for 10 seconds, and
  • Release the "Power" button while keeping the "Home" button pressed for 15 to 25 seconds more. The iPhone's screen will now turn blank.

Step 5: Wait for Redsn0w to detect your build.

Step 6: Once Redsn0w detects your iPhone's build, you will receive a number of options. Ensure that all options are unchecked with the exception of "Deactivate". This includes the "Install Cydia" option.

Step 7: Once Redsn0w completes the process your iPhone will be deactivated.

Step 8: Remove your SIM card and switch off your iPhone

Step 9: Switch your iPhone back on, connect to iTunes and insert your SIM. You should now receive an unlock message from iTunes.

That completes the procedure.

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