The new iPhone OS 3.0 beta is rich with upgrades, updates and features that Apple iPhone developers are eager to get their hands on, but before a developer installs the iPhone OS 3.0 and SDK they may want to take a close look at the fine print such as the README file.

According to a report on pcworld, the README file means exactly what it says and warns developers that the new iPhone OS 3.0 beta breaks any ties with previous versions such as iPhone OS 2.2.1 and earlier.

The word is Apple has decided to hold back on compatibility with iPhone OS 2.x applications until a later update during the OS 3.0 update, or they may not make it compatible at all.