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Can an unlocked iPhone download from AppStore and iTunes?

Milkshake

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Hi I'm a newbie on iPhone 4. I want to know if my unlocked iPhone can download apps and songs from AppStore and iTunes? I'm afraid to download anything as it may get locked or something..
I also have this Cydia application in my phone. What is it? Is it safe to use?
Thanks everyone for the help.
 
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Milkshake

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thanks a lot for the info! now I can fully enjoy my new iphone 4 ;)
 

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