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It is fine. Some people have reported serious problems. In my own experience, it really was as easy as a push of a button to soft update from 1.1.2 - 1.1.3.
 
Didn't work for me. Tried twice both times the iphone reset with the plug into computer graphic. I needed to do a complete restore to get it working. I was on a jailbroken 1.1.1

No real problem except I lost all my apps and had to go through the jailbreak and reinstall again. Bit of a bag of spanners, if you ask me... beware.

Pete
 
As I understand it, it is best to soft update from 1.1.2. Perhaps that is why you had trouble going from 1.1.1.
 
OK, to start I had tried several different methods and decided after work this morning to try the soft upgrade. Had a slow wireless connection but I let the software do its thing. It probably took well over an hour but it rebooted and now I am at 1.1.3 on Firmware 04.02.13_G

Worked awesome! Everything was fully functional except "Locate Me" in Maps but I installed Navizon and it works flawlessly! Finally excited to have it working correctly as the "Official Upgrader" failed for me after 3 tries!

I had a Day 1 iPhone that I just recently updated from 1.0.1 > 1.0.2 > 1.1.1
Jailbroke w/iNdependence the whole way and it worked. Just took a lot of restores until I tried the soft upgrade. Did it from a Jailbroken 1.1.2 just in case your wondering! I also uninstalled all the apps and SpringBoard stuff I had installed.

If you have the ability to gain access via SSH through your Mac, Im sure that would work but I was not able to do this due to the router setup. The definitive jailbreak guide on this site is perfect and if you follow it, it seems much more reliable.
 
The soft upgrade is really hit and miss. There isnt all success stories like with 1.1.1 and below. If you do this, you better know how to fix your phone just incase the upgrade screws it up...
 
It's early days.

Just like every jailbreak and unlock solution, it'll take a while for all the wrinkles to be worked out. I bought a 16 GB model yesterday. I had to go round the 1.1.3>1.1.1>1.1.2>1.1.3 cycle twice as my SIM was recognised but I couldn't get any service the first time.

If you're comfortable with the command line and don't mind re-doing some steps, then go for it. Otherwise, wait for a while.
 
It didn't work for me either. I tried using this method:

http://hackint0sh.org/forum/showthread.php?t=28612


One, the unlock didn't work. I tested a T-Mobile sim after succesfully installing the jailbroken 1.1.2 software. Then I tried using the 1.1.3 upgrade. It downloaded fine, but during the extraction process, it just froze. I would hit the home button, go back to it and it would start up again. After it went up to 110% and it was still extracting, I just decided to give up again and I restored my phone.

But apparently, it works for some people. But it seems there are more people that have issues with the above unlock and upgrade to 1.1.3 method.
 
the 1.1.3 soft update appears to freeze near the end

and then it does work

takes around 20mins to an hour

it took me 32 minute approz
 
i have done it twice and it worked both times. I will tell you that it does seem to freeze after a certain while. If after about an hour it seems to be stuck at get yourself a sandwich, hold down the home button until you see the twirly circle load image in the background and you should be good to go.
 
MIne worked after a few tries. I have an OTB 1.0.0 phone that was updated to 1.1.3 via itunes, then downgraded to 1.1.1 to 1.1.2 soft to 1.1.3. Then, I upgraded my baseband and enabled locate me in google maps. However, I did have a fatal crash after a few days of operation that forced me into recovery mode!!
 
Wondering if I should go back to 1.1.1 or not?

After a 1.0.2 (OOB) unlock and later an upgrade to unlocked 1.1.1 I've been trying for two days to upgrade to 1.1.3. Nate's solution was later revealed as unsuccessful so I found Dev Team's. Not certain if it works given that I am having trouble using SSH, it reports -3.2# and after three key inputs "connection closes every time i type in cd/ sh"
 
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