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Everyone seems to want video functionality on the iPhone 3G but Apple, for whatever reason, has not allowed it. Maybe the company is waiting to launch its own app to do it, or maybe it cut a deal with AT&T so as not to completely clog up their 3G lines. Either way, video streaming on the iPhone 3G is here now thanks to Qik — assuming you have a jailbroken device.

Qik, the live video streaming service, also offers its service on the original iPhone, but because that device only works on AT&T’s EDGE network, it requires you be near a Wi-Fi connection to stream. Now with the 3G capabilities, you can be anywhere.

The company launched its public beta test last month. At that time, Qik co-founder and chief executive Bhaskar Roy told me the company was working on a solution to get video streaming on the new iPhone, but that it needed to build a video encoder for the device. Apparently, it has now done so.

Here are the steps from Qik’s blog post and check out the video below to see it in action.

1. If you have not already, you’ll need to sign up at http://qik.com/sign_up and receive an SMS from us to activate the application.
2. Launch Cydia. [An open source installer for jailbroken iPhones.]
3. Go to the “Sections” tab at the bottom and scroll down to “Multimedia.”
4. Under Multimedia, you will find Qik. Tap on it then select “Install” at the top right, then in the same spot tap “Confirm.”
5. Now you will see Qik get installed. You may hit the “Return to Cydia” button at the bottom or just quit Cydia when it is done installing.
6. You’ll now notice a “Qik” icon on your home screen – Go ahead and launch it.
7. As long as your initial signup SMS/text message is still in your inbox for the first launch, your account will be linked to your device.
8. Make sure you have 3G service or are on WiFi (edge is not sufficient enough to stream video) before you begin broadcasting.
9. Hit record and enjoy Qik!

No word yet on how it effects the device’s already much-complained-about battery life.

Update: Qik has confirmed that the iPhone 3G version will work over Wi-Fi and 3G connections. There are no current plans for an App Store version “as of now.” And the battery life is said to be pretty efficient, though Qik is working to make it even more so.

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