I discover this now. It is so hot that I can barely hold it in my hands!
I discovered now that you can make Xcode 3.2 compile for iPhone OS 2.0 and 2.1 and don't tell me about the old method of setting Base SDK = 3.0 and then adjusting the iPhone OS Deployment Target to iPhone OS 2.0.
I am talking about setting BASE SDK = iPhone OS 2.0 or 2.1 on Xcode 3.2.
This is how (Apple lack of documentation kills me!)
I have put all on my blog. Check it out.
Compiling for iPhone 2.0 and 2.1 with Xcode 3.2 on Snow Leopard
I hope this can help you guys!
You will not regret!