I have a friend who is visiting the Fareast shortly. She has said she could bring me a iPhone back. I was wondering could I free this to work on any Pay as you go network and if I could would I lose any features
Currently there is no easy, software unlock to the 3G iPhone. There are SIM cards that claim to unlock it but those work for only a month or so (from what I have heard) and then stop working. They do sell factory unlocked phones in some places but they are far more expensive than the $299 iPhone you can get with AT&T in the U.S. They are likely to be $1,000 or more depending on where you buy them. However, if you get it unlocked from the factory then it should remain unlocked throughout all firmware upgrades.