The newly released iOS 4.1 is jailbreakable using Redsn0w 0.9.5b5. All you need is the latest iOS 4.1 firmware for iPhone 3G or iPod touch 2G (non-MC Models) and you can jailbreak it using Redsn0w on Windows and Mac.
N.B:This is strickly for iPhone 3G and iPod touch 2G (non-MC models) only.
Instructions to jailbreak iPhone 3G and iPod touch 2G on iOS 4.1 using Redsn0w 0.9.5 as usual are exactly similar to the last release with iOS 4.
Please read all the instructions:
Step 1: Download iOS 4 (final version) for your version of iPhone and iPod touch.
Download Links for iOS 4 (Official from Apple):
Step 2: Update to this latest firmware using the iOS file you just downloaded via iTunes 9.2.
Step 3: Start Redsn0w 0.9.5b5-3 (download link given below) and point it to the original iOS 4 firmware file to proceed.
Step 4: Now select “Install Cydia” and click “Next”.
Step 5: Now make sure your device is both OFF and PLUGGED IN to the computer before you click “Next”.
Step 6: Connect your device in recovery mode by pressing the Power and buttons continuously.
At this stage you will be presented with a screen where you will have to quickly hold “Power” button and then while holding the “Power” button, you will now have to hold “Home” button too. Now after few seconds release “Power” button but keep holding “Home” button until installation begins.
Step 7: Sit back and enjoy while redsn0w will do all the rest for you. Once done, your iPhone and/or iPod touch will restart automatically and you will find it jailbroken on the latest iOS 4 firmware.
If you notice a blank white icon for Cydia with no sources. Go to the Sources panel and add http://apt.saurik.com/cydia-3.7 repo. Now restart your phone and you should see the regular standard Cydia logo with all the sources now.