Those of you who've already updated your iPhones with the latest SDK and OS may be in for a pleasant surprise. A recent video released found evidence that the phone's Safari browser now allows you to play YouTube videos without any additional conversion apps necessary.

Don't get your hopes up though; this doesn't give full fledged Flash player support. It's basically a plugin that enables you to click on embedded YouTube videos and stream them from the iPhone's movie player.

The bad news is that you still won't be able to open videos taken directly from YouTube.com, since it still checks for a Flash player installed on your system (which you don't have). However, it will play any other .flv formatted videos from other sites.

If you don't believe us, you can check out the video of the new plugin in action below. Hopefully, someone will be able to develop a more user friendly interface with the YouTube.com site itself and allow everyone the privilege to watch videos for hours on end while on the go.