Mines an unlocked 2G! And the contracts are shocking thats why i got it unlocked. And i am considering getting the 3G PAYG. But i am not too sure on unlocking them, only know about the contracts. But to unlock the iphone 3G i don't see what benefits you gain from it apart from getting a contract one cheaper. Becuase all the WIFI is with 02 and so you can't get that free.