That seems to be what I'm leaning towards. Can you use the iPhone like a Touch (iPod, iTunes, Safari (wifi), no phone/text/etc) without activating it?
Not only can you use the iPhone like a touch, it's really a better Touch all the way around.
The Touch will evolve into what we all want, but for now, I am staying away from it.
To answer your questions, iPod, iTunes, Safari (WiFi), and YouTube can be used without activation (YouTube is a seperate hack). It's a little delicate to complete, you have to be careful, however, you can activate the phone without issues and use it just like a Touch.
As far as Apple fixing the "Unlocking", no question the new update will address this. However, "Unlocking" the phone for GSM SIM use is NOT the same as simply spoofing activation.
All you have to do is not update your iPhone until the tweakers figure out if it's safe or not.
Many people are doing this. If you already have a cell and don't want to cancel to go to ATT and pay the penalty, it's a great alternative until your plan expires.
I personally think it was a shrewd business move to lock all iPhone features until the phone is activated with ATT. This way Apple makes money on you twice and forces more subscriptions...
spoof activate it and enjoy the hell out of it.
You get a speaker, the damn touch has no speaker, weak!
You get a calender you can edit, google maps (WiFi), the Camera, a free power brick and dock, it's a much better deal despite 8GB less memory.
Plus interface hacking (Don't even think about it unless you know what you're doing) is awesome. It won't be long for the Touch.
I will eventually have both.