snydeq writes "Despite the productivity promises of Apple's forthcoming 3.0 firmware update, jailbreaking should continue to push the iPhone's productivity envelope, as users increasingly demand the Holy Grail of smartphone power use: applications that run in the background, InfoWorld reports. Copy and paste, video recording and streaming, Internet tethering, and content search are just a few of the features over which iPhone users have sought to jailbreak their devices — a practice Apple itself has done little to crack down on. Jailbreak apps circumvent hardware and software restrictions that Apple says ensure a consistent, responsive user interface and optimal battery endurance. In particular, jailbroken phones can run apps in the background, a capability Apple reserves for its own apps but prohibits in third-party programs. Jay Freeman, creator of the Cydia iPhone installer and Cydia Store, however, believes a free-market approach is the best way to satisfy power users' demands for features without compromising the performance of their iPhones. And given Apple's App Store overcrowding, it seems likely that jailbroken phones and app venues like Cydia Store will continue to be popular with iPhone customers and developers, even after the 3.0 firmware ships."