We all heard of VLC Player for your PC, well now its here for the iPhone / iTouch. You will need a jailbroken phone with cydia to get it on your phone.
Seems like its only out for beta testing but we got a source that lets you test as well

To install:
1. Start Cydia
2. Click Manage
3. Click Sources
4. Click Edit
5. Click Add and add 'www.iphone.org.hk/apt'
6. Goto Changes in cydia and you should see VLC Player at the top click to install
source article with video
Seems like its only out for beta testing but we got a source that lets you test as well

To install:
1. Start Cydia
2. Click Manage
3. Click Sources
4. Click Edit
5. Click Add and add 'www.iphone.org.hk/apt'
6. Goto Changes in cydia and you should see VLC Player at the top click to install
source article with video