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Anyone know how to do this? I know it is possible for the 3GS yada yada.. but what about the 3G??

Option key + Restore button, select 3.0 IPSW (not 3.0.1 IPSW)

Select Set up as New Phone

Edit: With all the 3.01 & 3.1 mismash in 1st couple posts, I managed to read your current version incorrectly Sorry.
 
I have not been able to downgrade 3.1 to 3.0.1 on a 3GS. I have tried with Mac and iTunes 9 and also on Windows 7 with iTunes 8.2. iRecovery will not find the Phone. The minute you try to load the new (old) ipsw, Apple verifies eligibility for the ipsw. Since the downgrade is not eligible (since 3.1), it removes the iPhone from the USB port. Re-connecting does not solve the problem.

I'd like to hear from anyone who has successfully downgraded a 3GS (not a 3G) and find out how they overcame the "iPhone/iPod not found" error n iRecovery.
 
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