The Dev Team released a rather tricky version of unlocking iPhone 3GS and 3G a while ago. The team started with the PwnageTool for MAC users and just now they released redsn0w 0.9.6b5 for all PC users. So everyone should be happy now and let me just give you a quick walkthrough on how to first Jailbreak and then unlock iOS 4.1, iOS 4.2.1, iPhone 3GS, 3G on Basebands 5.14.02 and 05.15.04.
The good thing about this jailbreak and unlock is that you don’t need iOS 3.2.2. Redsn0w can grab the Baseband files directly from Apple’s server so you don’t have to worry about it. This actually made this unlock easier then the MAC version of it. So after a successful jailbreak you would be able to see 06.15.00 as your new baseband and you can use the guide mentioned below to unlock your device.
Also, Musclenerd just pointed on his twitter account that “One should keep the device plugged in while doing the Baseband Upgrade, or flashing the Baseband”. So, just make sure your device is charged and plugged in through the whole process.
If you do flash your baseband via redsn0w, please keep it plugged into USB the whole time. You don’t want your battery to die during the flash process!
How to Jailbreak and Unlock iPhone 3GS, 3G on Basebands 5.14.02 and 05.15.04 Using redsn0w
Step 1: You need redsn0w latest version (link below) and iOS 4.1 or iOS 4.2.1, you can find the links below. (You can use iOS 4.1 only if you have your SHSH saved, if you don’t have those, move on with iOS 4.2.1)
Step 2: Run redsn0w and click browse, give it iOS 4.1 or iOS 4.2.1 you downloaded in step 1. Remember, if you are on Windows 7 or Vista and having problems running it, change the compatibility mode, by right clicking on the file and clicking properties. From the options check the compatibility tab and change it to XP or Lower. Also, try to run it as administrator if nothing else helps. 
Step 3: Wait for the file to be identified, once done click next. Choose “Install iPad Baseband” from the options. A popup message will pop up with a warning, click Yes to continue. 

Step 4: Now, redsn0w will guide you to put your device in DFU mode, follow the simple instructions.

Step 5: Wait for Redsn0w to create the custom firmware file. Give it sometime in flashing the baseband. This will take a while so do not do anything silly here. Just sit back and wait for a confirmation message.
Step 6: After the confirmation, your iPhone 3GS or 3G should restart and you should be able to see a completely Jailbroken iPhone. You can confirm the new baseband by going into the settings > General > About. Your new baseband should be 06.15.00.
Step 7: You can use the Cydia > Ultrasn0w guide posted here to unlock your iPhone 3GS or iPhone 3G.
Final Step: Share it, like it and make sure not to update your device ever without talking to me or exploring this site for answers.
Enjoy the unlocked iPhone 3GS and 3G on your new baseband 06.15.00. Talk to us on Facebook fan page and we’ll try to guide through the whole process.
[ Download Section ]
Redsn0w latest version is available now
- OSX
- Windows (Windows 7 and Vista users, please run redsn0w as Administrator in “XP Compatiblity Mode”)
- if links are broken, Google the file name for links. Sometimes the sources remove the links after a new release…
[ Download ] iOS 4.2.1
[ Download ] iOS 4.1
If you are waiting for an unlock for iPhone 4 baseband 2.10.04, you should read this.

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