General

New jailbreak available here comming from #iPhone on IRC 🙂 I will report on how this goes for me later on

Here is the readme file. This is done on the IPhone it self: 

iPhone 1.1.3 “Soft” JailbreakBrought to you by planetbeing, NerveGas, ghost_000, dinopio, bgm, MuscleNerd,    and the iPhone-Elite and iPhone/iTouch Dev teams.
OVERVIEW
This “soft” update upgrades a 1.1.2 iPhone/iTouch to 1.1.3. You will requirea v1.1.2 Jailbroke device with the BSD Subsystem v1.5 or greater installed.
This installer does NOT upgrade your baseband. It only creates a log directoryfor it, which is needed in 1.1.3. Don’t freak out when you see it doing so.
IMPORTANT NOTICE
Because this is a soft update, the kernel cache is not upgraded. You willneed to ensure you are on v1.1.2, otherwise this will cause certain DRMfunctionality, such as Nikita (Apple’s new software installer for the SDK)to malfunction.
           UPGRADE MUST BE PERFORMED FROM 112 TO WORK PROPERLY
INSTRUCTIONS
NOTE: This installer downloads a significant amount of data from Apple’s      website. Be sure you have WiFi turned on so that you don’t use your      mobile connection – or you’ll be sitting there a while!
NOTE: This installer takes some time, and a good bit of memory. It’s a good idea      to do it while charging.
1. Copy this entire distribution to / on your iPhone/iTouch   So you will have /update-prebinding-path.txt and so on
2. Run the install.sh script:
   # sh install.sh
3. The device will perform an upgrade and reboot into 1.1.3
That’s it!