About time.. the proximity issue is driving me nuts! Hopefully we will have this by friday for the non-devs!

Between the Prox Sensor, the antenna problems and some occasional overheating, I really felt like an iPhone beta tester for Apple, that's why I returned my phone a couple of weeks ago.
I hope they get this right so I can re-buy the thing, or I'll wait for the 4g(?).
Also hoping they improve the performance of iOS4 on the 3g with this latest build, since this is what's holding me over until they work the bugs out of iPhone 4.
jb

Does it improve performance on the 3G? Mine is almost unusable it's so slow. I frequently have safari hang on me for 20-30 seconds, apps frequently quit repeatedly when starting up (lack of memory I guess) and everything is just universally slow.

I've had a couple of friends have to do a RESTORE two or three times with their 3G phones to get them to work acceptably fast.

I have no idea why the first or second restore didn't work, but they are happy they tried a couple more.

The same thing happened with my iPod touch 2G. The second restore helped a lot.

And yes, I've read in many places where setting up the phone as a new phone helps immensely. A lot of work, but it seems to often work well.

Please please please fix the iPhone 3G performance.

Doing a restore sounds interesting - I might have to try that. However, I have found the 3G's performance with iOS4 degrades over time so what might at first seem a solution, after a little while, turns out to be a huge disappointment.

iOS 3.1 was released during the Apple music event last year, September 9, 2009. I expect iOS 4.1 will be released during that same event in September of this year.