iPhone users just can’t seem to catch a break can they. First the iPhone 3.0 update has spawned numerous WiFi connection issues. Now, 3GS owners in particular have a new problem to worry about regarding WiFi. If you are in fact a 3GS owner and were aware of poor WiFi reception and speed, try turning off Bluetooth. The iPhone 3GS makes use of a WiFi/bluetooth chip while the 3G uses two seperate chips for each. The resulting sharing of the antenna in the 3GS is apparently the reason for the problems. Users have reported that turning of Bluetooth remedies the WiFi problems. Apple is aware of the issue and supposedly working on it. 3.1 couldn’t come soon enough…
Source: TUAW, Image Source
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by 
August 11, 2009 at 9:27 am
Same exact problem here. Very frustrating. Happened to my wife’s 3g. Apple exhausted everything. She sent it back and got a new one. I see Apple doing alot of this.
July 21, 2009 at 10:48 pm
Exchanging phone & turning off BlueTooth did not help: WiFi became useless about a month after initial 3GS purchase. Very odd, but it worked fine for a while, then quit – and never worked at all on the replacement phone…