According to the Apple site, the v1.0.1 Update, which can be downloaded and installed via Itunes, fixes several security holes in the Iphone's Safari browser, Webcore, and Webkit.
The updates will be installed automatically when the Iphone is docked.
Apple will be patting itself on the back that it managed to get its update out before the Black Hat Security conference, which is likely to showcase hacks of the Iphone, based on some of the holes found so far.
It is not clear if the patch will burger up anyone's presentations, but there might be a few who have been sent back to the drawing board. ยต