ZiPhone’s latest version (2.5 at the time of writing this) can be found here. It is highly recommended that you do a full restore to iPhone FW 1.1.4, because just updating to 1.1.4 will leave all your 3rd party applications on your iPhone but you won’t have access, nor will Installer recognize them as installed.

Go download ZiPhone from the link above. When you run it it will ask you where you want to extract everything, I just created a folder on my Desktop. Go to that folder and run ZiPhoneGUI. If you haven’t restored yet, near the bottom right of the GUI click “Click here to show advanced features” Then click DFU Mode, this will put your iPhone into restore mode and make you restore it with iTunes, which will also allow you to ‘restore and update’ which is what you want to do. Do the whole restore and update process till and you will be on an unjailbroken 1.1.4.

Now back in ZiPhoneGUI, the easiest part, Click one of the following buttons found on the right side of the GUI:
Note: your iPhone needs to be plugged in to iTunes.

Do it all! -Will jailbreak, activate, and unlock.
Don’t Unlock -Will jailbreak and activate
Jailbreak -Will just jailbreak (for AT&T customers)
Refurbish -Puts everything back to how you bought it. (nice if you need to take it in for repairs)

While ZiPhone is doing its thing, you will actually see lots of code scrolling on your iPhone, don’t be alarmed! It’s normal, and very fun to watch!

Well, I wrote this all up hit save and lost all of the following. Normally doing something a second time should make it better, but I won’t promise anything.

Now the fixes
To get some of the apps working correctly we need to do a little work.

First off, Installer.app will not install apps for 1.1.3 on a 1.1.4 iPhone. To fix this, you need to first install the Community Sources from the Source category in Installer. Refresh, then go back to Sources and install BigBoss’s Recommended Sources, that will give you iSpazio and iPodTouchFan’s sources, the rest of the sources included in that pack are great too.

Refresh your sources again, and now you will have a category called Tweaks 1.1.4, in there you will find “1.1.4 Campatibility Patch” Install it. Now you can install 1.1.3 applications, but it is HIGHLY recommended that you uninstall this patch when you are done installing old apps. Not sure why, but thats what it says.

The other big problem is that SummerBoard’s Themes are not always installing in the correct directory. So the other fix is located in the ‘Tweaks 1.1.3′ category in Installer. It is called “Smb Themes Fix” (from the BigBos source), install it and it adds a symbolic link for you, so SMBPrefs can find all your themes correctly.

The second problem with SummerBoard’s Themes is that they do not always get installed with the correct permissions. There is a fix found once again in ‘Tweaks 1.1.3′ called “1.1.3 Theme Fix” (from the iPod Touch Fans source). After you have downloaded the theme you want to use, install this and it will correct all the file permissions for you. When ever you download more themes you will want to run this again to fix them. Which is very easy because, after using this once, the fix can be found in the Uninstall list, but instead of an uninstall option, it says reinstall. So just go back and run it every time you download more themes.

Apps are being updated daily to work better with 1.1.4, hopefully all the directory mismatch problems will be resolved soon.

Otherwise, this was an easy jailbreak.

Happy Hacking!

Notes:
-Native terminal applications still do not work, stuck with incorrect password prompt
– See likwidfuzion comment below to fix this. Thanks!
-Customize is not working for me, but other users have said otherwise
-StatusStyle 2.3 or earlier will erase your springboard plist, reseting your icon order and your alarm clocks. I know, alarm clocks, weird, but its true, I was late to work…) I would put off on using StatusStyle till an update comes out.

I’ll keep ya posted on anymore bugs I find.

Post your success or failure. We want to hear how it went for you!