I successfully updated my 1-st gen iphone to firmware 2.0 during the weekend, fully operational in NZ thanks to the efforts of the iphone dev team. Here’s a couple of tips if any of you are going to do the same:
use the latest (2.01) version if the pwnage tool - it fixes a couple of minor frustrations.
do a full sync and turn off auto-lock before you start, just in case!
if you’re using a 1st-gen phone and aren’t in the USA, then you are not a “legit” user.
to do the restore in itunes, you need to alt-click on mac, and shift-click on windows.

