STORY UPDATED: see below

Skype is now available for the iPhone – and will be coming to BlackBerry in May.

The VoIP app on the iPhone will only work over Wi-Fi and not 3G.

It will allow iPhone subscribers to use phone numbers in their existing iPhone address book – without the need for duplicate lists.

As always, it allows free calls between Skype users and charges for calls to landlines or mobiles.

The free application began appearing in the app store early on Tuesday.

UPDATE: Since being released on Tuesday it has emerged that Skype on iPhone does works over 3G, despite being intended only for use with WiFi.

Users report it working over the 3G data connection if the beta 3.0 firmware is being run.

Since VoIP over the 3G cellular is clearly forbidden in the SDK rules, it’s obviously due to a bug on 3.0 that it works.

This raises the question of how long it will be before Apple closes the hole?

But also, how did was the app "approved" and certified by for the App Store without first "testing" if Skype would work on the 3G connection?

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