
Whooo! VLC media player, which tends to be one of the first things I install on any new system, has been ported over for use on jailbroken iPhones.
The crazy-talented ZodTTD (the guy behind snes4iphone) has released a beta version of the port, vlc4iphone, which allows for drag-and-drop playback of a number of media formats not otherwise supported on the iPhone.
Good news: It supports playback of XviD, h264, MPEG4, FLAC, 3GP, MP3, MPEG2, AVI, with more on the way.
Bad news: At the moment, its only available for ZodTTD’s beta testers.
If you’re itchin’ for it now, you can drop ZodTTD a few bucks for donor access, which happens to come with access to the beta repo. Otherwise, just wait a few days – development is going pretty quickly, so a public release probably isn’t all that far off.
For more information, check out ZodTTD’s site.

Its sad that things like this won’t work on non-jailbroken phones. As a developer, I’m pretty frustrated with Apple’s draconian control.
Will this all change in iPHone 2.0?
Things like this oughtta be plenty possible on vanilla iPhones once the App store rolls out, as long as all licenses are respected.