Last resort - tips to end your existing cell contract

OK, so you can't and don't want to unlock your iphone you might still have a problem if you're bound to another telco's contract. Wired Magazize has clever but ethically-questionable Tips to End Your Existing Cell Contract, some of which are probably illegal!

SIM card physically locked in?

OMG, it looks like the SIM card is actually physically locked inside the iphone.

There are no slots or removeable panels on the iPhone. How else can you possibly access the sim.
The reason it's "pre-installed" and the reason you activate via iTunes is not for convenience or an "innovative way to activate your service." It's because Apple stores are selling them as any other product and are not activating service at the store. That is also why existing AT&T customers have to purchase their phones through AT&T and not Apple stores. You can't transfer your service from your existing phone to the iPhone by simply moving the sim to it. Otherwise, it would work like any other GSM phone that doesn't have a "pre-installed" (aka embedded) sim. [link]

That's the first time I've ever heard of such a dumb idea. Way to go apple :-(

Update 1 July 2007 : the SIM card can be removed, see the YouTube video below:

iPhone License Agreement

The iPhone License Agreement is online here.

Some interesting comments re unlocking the iphone:

Its not the law that binds you its your contractual aggreement by pressing "agree" Breach of contract and breaking the law are two diffrent things... that provide diffrent levels of punishment. and im fairly certain that its not the first time in an APPLE TOS or any other companies TOS that that statement has come up. [Link]

In the US, it appears that the "law" with respect to cell phone unlocking is an excemption made by the US copyright office, under provisions of the DMCA. In other words, handset makers and carriers can't use the DMCA to protect their business model by disallowing the use of the phone with other carriers. This exemption can potentially go away as exemptions are reviewed every three years, per the terms of the DMCA statute.

I don't know if EULA and TOS terms that prohibit unlocking are enforceable. That is a different matter.[Link]

Pure Digital

Pure digital claims that they will be unlocking iphones. Some interesting comments on Digg and analysis on arstechnica.