It's the gift and the curse that keeps on giving. Though the iPhone Software/Firmware 1.1.1 update certainly isn't for everybody (see its consequences and steps for downgrading), more compelling reasons to update are being unfurled.
iPhone Atlas reader Max Smart notes that the iPhone can now playback H.264 video at throughput rates up to 2.5 Mbps, 640 by 480 pixels, 30 frames per second, Baseline Profile up to Level 3.0 with AAC-LC audio up to 160 Kbps, 48kHz, stereo audio in .m4v, .mp4, and .mov file formats. Previously the maxium encoding throughput rate for H.264 video was 1.5 Mbps.
The upgrade makes the iPhone's Safari browser more compatible with various videos on the Web and (presumably) will make more H.264-encoded content available through the YouTube application.
Other undocumented features:
- Can play MP3/AAC/WAV audio email attachments
- Text message sounds, International characters, Video playback options, debug mode