Though apple has released its 3.0 update for the Iphone , still users are experiencing problems installing the update. This is likely due to server overload; keep checking throughout the day to see if the update is available.
3.0 Update is available now.
The update is free for owners of the original iPhone as well as the current iPhone 3G; iPod Touch users must pay $10. Users wishing to upgrade must plug their device into their computer with the USB dock connector and then load iTunes 8.2, where they can download and install iPhone 3.0.